While temperatures may be dropping, the value of Miami’s housing market is heating up, as evidenced by a recent ranking. According to a report from Zillow, in May 2021, Miami’s housing market was ranked as the ninth most valuable in the nation, with a total worth of $1.23 trillion.
However, the metropolitan area, which includes Fort Lauderdale, has since climbed to the fifth position, with its total value surging by an impressive 86.6%. In fact, Florida as a whole is now listed as the second most valuable state in the country, trailing only behind California’s booming $10.175 trillion market. Florida’s real estate values have seen a 4.3% increase since June 2022, reaching a staggering $3.8 trillion.
Remarkably, of the six markets that have witnessed the most significant increase in housing values since the onset of the pandemic, four are situated in Florida: Tampa (up 88.9%), Miami (up 86.6%), Jacksonville (up 82.4%), and Orlando (up 72.3%).
New York City stands as the most valuable metropolitan area in the United States, with a total worth exceeding $4.2 trillion, experiencing a 4.2% increase in value from June 2022 to June 2023. Following New York are Los Angeles, San Francisco, and Boston.
Over the past year, the total value of the U.S. housing market reached a record-breaking $52 trillion, marking a $2.6 trillion increase year-over-year. The average value of a home in the U.S. saw a 0.7% rise over the course of a year.
Zillow officials, known for being the most visited real estate site in the country, attribute this surge in average values to new construction. Zillow Senior Economist Orphe Divounguy noted, “A steady influx of new homes entered the market during the spring and summer, helping to address the significant inventory deficit and boost the overall market value. Despite the presence of higher mortgage rates, which discouraged some prospective homebuyers and kept many current homeowners on the sidelines, there were enough buyers to sustain the market. Builders recognized the unmet demand and responded by initiating more projects. New home sales increased this year while existing home sales declined, and this trend is expected to continue as long as interest rates remain elevated.”
