Total new-home closings: 9,210
Population: 5,929,819
The good: New home prices have climbed steadily, along with builder confidence in the region.
The bad: Attached units are coming on strong, claiming 43.2% of the total market as of January 2015. After what happened in the last condo boom, that’s cause for concern.
The bottom line: While the trend may be toward smaller, attached units (the condo market is booming in Miami), if 2014 and early 2015 numbers say anything, it’s that there’s still room for builders in Miami.
After a robust closing to 2014—with a 31.6% year-over-year increase among new-home closings in December—the Miami market leveled in January to levels barely above the previous year. March’s permits, however, paint a different picture for mid-2015, marking a 30% year-over-year increase among single-family dwellings. Before you draw up blueprints for this region, it’s worth noting that the average footprint for new homes fell 35.9% year over year in January 2015, to 1,709 square feet, which can be attributed to the increase in condos. At the same time, you may not have to draw down profits, as prices have risen steadily year over year to $180 per square foot. For builders, there’s more than sunshine and nightlife to be enjoyed in Miami.
