The beautiful beaches and sunny climate of Miami draw people from all around the United States, and the rest of the world. While some are content to claim it as a vacation destination, it is also a popular place to move. The demand for condominiums and cooperatives is fed by these would-be residents, but at times, the supply of homes falls short and leads to prices that are out of reach by many.
According to analysts, there was a 10 percent increase in apartment rent between 2014 and 2015, that has not been repeated in the first half of 2016. Instead, the numbers have been stable. This is partly due to the increase in construction and the falling number of foreign buyers in the area. For some condo developers, this has been the prompt needed to switch their focus and offer units to middle-class renters.
Even though banks are slower to lend money for new buildings, the market is not following the path that led to the 2008 crash. Condo owners are continuing to pay their loans and maintain their properties instead of abandoning them. Experts believe that this fact coupled with the increase in renters will prevent another disaster from occurring.
Anyone in the Miami-Dade area may have difficulty keeping up with the high costs associated with living in such a desirable location. Renters and mortgage holders who are dealing with legal issues stemming from landlords, homeowners’ associations or lenders may benefit from the advice of a Florida attorney who understands the local, state and federal laws and can provide representation.
Source: Miami Herald, “In sign of slowdown, downtown Miami condo prices fall for first time in five years,” Nicholas Nehamas, Aug. 8, 2016