Throughout the pandemic, we have witnessed The Great Reshuffling with many Americans working remotely and thus moving to homes with more space. Although this is still taking place, what post-pandemic trends are we beginning to see? Some observations are quite expected, while others are surprising. We discuss below.
A vacation home boom
Although we have seen an increase in the purchase of second homes or vacation homes during the pandemic, this trend is largely expected even post-pandemic. With the ability for many Americans to work remotely from home or in a hybrid in-office/at-home work model, it is expected that home buyers will continue to prioritize lifestyle and the ability to spend more time enjoying life in their second or vacation homes. When it comes to destinations, The Sunshine State is certainly towards the top of the list of most popular. In fact, Miami, FL has seen the median home price increase by 30%. Furthermore, the threshold to be considered a luxury property nearly doubled from around $1 million to more than $2 million. Needless to say, the luxury home market has seen a substantial growth in interest as well as appreciation.
A millennial push
Another interesting observation in the current market involves the home buying preferences being exhibited by millennials. Many of these buyers are delaying buying their first home until their mid to late 30’s. In doing this, many of these buyers are skipping over buying starter homes. Instead, we are seeing an unusual percentage of these buyers purchasing in the million dollars-plus range. As a result, this is adding to the already high demand for luxury homes.
Summary
The popularity of destinations such as Florida during the pandemic has been well established. As we have written about previously, the lower cost of living combined with increased prevalence of Americans working from home has certainly bolstered the growth in The Sunshine State. At Live South Florida Realty, Inc., we have assisted many clients with finding their dream homes in paradise & we would be happy to assist you as well.
At Live South Florida Realty, Inc. we have assisted many clients build their real estate investment portfolios. Are you looking to buy or sell a property in South Florida? Now more than ever, it is critical to have a qualified real estate team and the proper search tools behind you. Live South Florida Realty, Inc., has been a leader in the South Florida market for many years. Let our team of professionals assist you with buying or selling your piece of paradise today! In addition, our recently launched “Florida Home Search” app is now available on the Apple App Store and Google Play Store. With real-time MLS feeds, this app lets you set your own alerts to notify you as soon as a property meeting your needs hits the market. Furthermore, it will also let you know of recent closed sales in your area so that you may be even more educated on the market. Be sure to download this app for your smartphone or tablet today!
