According to a recent study by online lending platform LendingTree, Miami ranks second in the nation for its metropolitan area with the highest vacancy rate. Miami boasts a vacancy rate of 12.65% out of 2.6 million homes, trailing behind New Orleans at 13.88%. In contrast, the national average for the 50 largest metropolitan areas examined in the study stood at 7.22%.
LendingTree based its findings on the most up-to-date data from the U.S. Census Bureau American Community Survey. This analysis sheds light on why an area’s vacancy rate is crucial in gauging the vitality and nature of its real estate market.
Senior Economist Jacob Channel, the author of the report, highlighted various factors contributing to Miami’s high vacancy rate. One significant factor is the area’s popularity as a destination for secondary homes. Of the total vacant units in Miami, over half remain unoccupied, utilized only for part of the year.
Miami currently houses more than 339,000 unoccupied homes, with 53.32% of them designated for seasonal or recreational purposes, such as vacation residences or weekend getaways.
Despite the high vacancy rate, it might be misleading to assume an abundance of available properties leads to reduced prices. The report emphasizes that Miami presents a distinctive case. Its alluring features make it a prime investment opportunity for affluent buyers.
The study also underscores that the vacancy rate can fluctuate due to variables like properties listed for sale or rent, as well as residences that have been sold or leased but remain unoccupied.
“For over 15 years, US Asset Loans have been providing funding to Real Estate investors”
Reach out today at [email protected]
