The Ultimate Guide to Real Estate Investing in Miami
Miami is a popular city for its beautiful white sand beaches, its cultural variety and exquisite cuisine, coupled with an almost perfect climate throughout the year, that make real estate investment almost always a success. It has earned the rank as one of the most popular tourist destinations in America!
But not only that.
Miami has one of the strongest and healthiest real estate industries.
Investing in real estate, location is crucial to your profitability. Especially in Miami, Florida, where the chances of success are enormous.
The real estate industry in Miami is the largest in the southeastern US and the eighth largest in the entire country. In just ten years, Miami's real estate sector has experienced a cumulative appreciation of 22,64%, placing it among the top 30% of cities in the United States. That is, a growth of approximately 2% every year.
Now there are still a few reasons why investing in Miami now is an excellent idea.
6 reasons why you should choose real estate investment in Miami
There are some powerful reasons that make Miami the best territory to invest with rules and long term. Find out why Miami properties are so highly regarded by top real estate investors.
1. High return on investment for owners and investors
The potential return on investment in real estate is the main consideration when someone decides to buy a home in Miami. This is the land chosen by people who want to make sure their real estate investments prosper.
Miami is a place where the demand for housing is always growing, so the ROI almost always satisfies investors.
The real estate industry is primarily driven by a population that prefers to rent. In fact, about 70% of Miami residents rent.
The reason is simple: most people have temporary or seasonal jobs, where the tourism industry stands out, which employs more than 145.000 people.
On the other hand, the supply of housing in the city is low, so the price trend here is usually higher.
Most investors are choosing single-family homes that they then renovate into many profitable units.
2. Miami is owner-friendly
Miami is one of the few places where property owners and investors have more freedom than other states.
Some of the advantages of investing in Miami are these:
- Miami has no laws on rent control.
- It does not put a limit on security deposits.
- Landlords can initiate an eviction if a tenant is at least three days late in paying rent (most states set the minimum number of days for late rent evictions at seven).
- Additionally, repeated lease violations allow for a 7 day unconditional move notice.
- The tourism industry is booming.
- Another great reason to invest in real estate in Miami is because of all the tourism.
In 2017 alone, Miami had a record 15,86 million unique visitors. Also, during the same year, overnight visitors spent a whopping $ 25,97 billion on direct expenses.
Awesome, right? So what does that mean for rental buyers and investors?
Miami offers vacation home buyers, owners and investors numerous opportunities to earn money from tourism.
3. A strong labor market
In addition to leisure, work reasons are other reasons why many people choose Miami. And it is that Miami is not only the largest urban economy in Florida, but also represents the 12th largest GDP in the United States (by metropolitan areas).
The unemployment rate remains at 3,9% thanks to the thriving tourism industry, the growing economy and the strong rental market.
4. Large population of retirees
Miami's climate and vitality keep the population growing continuously. The large population of retirees choose to live their retirement in South Florida.
This is very good for you: fluctuations in home values rarely affect most retirees. With no reason to sell their homes, there are fewer houses on the real estate market for home buyers.
5. Beautiful white sand beaches
One of the main tourist attractions in Miami is its beautiful and long beaches. Miami's beaches are the ideal destination for most people who travel to the city and who choose to invest in real estate in Miami.
But Miami is much more than just great weather: the city's population is growing by about 2% year over year.
A growing population is often synonymous with increased demand. That's a great reason to invest in Miami!
6. A strong international market
According to the latest reports, more than half of Miami's population is made up of foreigners.
Miami is very friendly with foreigners! Therefore, it is also an attractive place for foreign investors!
The reasons why foreign investors become so interested in real estate in Miami?
- Some consider investing in real estate in a safe and promising market.
- Others, mostly expats, are looking for a fresh start or living the American dream.
- Others choose to buy condos that act as their properties or vacation homes.