The luxury real estate market has some good news to report as it stays fairly resilient amid COVID-19. At the start of April, some real estate experts projected a 30-40% decrease in inventory as stay at home orders went into full effect. However, research indicates that across the U.S. and Canada, inventory only dropped an average of 15-20% and sales averaged a 20-25% drop. In fact, many Realtors reported that they’ve maintained their normal levels of spring business and many cities reported an increase in average luxury sale prices.
Luxury real estate has seen a shift in buyer wants. As luxury purchases are more heavily based on wants than needs, many buyers have shifted their gaze from smaller properties close to the city action towards homes with larger spaces that offer room for more activities as we continue to keep socially distant. Instead of flex rooms that serve multiple purposes, buyers are looking for dedicated spaces for work, wellness, and outdoor activities.
Miami is perfectly suited for this type of growth, where homeowners can indulge in a larger home with dedicated spaces for work and play while also enjoying close proximity to the beach, fine dining, and culture.
If you are thinking about buying or selling and would like to discuss current local real estate market trends and investment news, please do not hesitate to call. I am here for you!