Top 10 Reasons to Invest in Miami

Whether you have invested in Miami before or not, the question remains, especially for those who have never done it. Investing in real estate in Miami has been considered as the fastest way to become wealthy in South Florida. But if you want to be sure if it is still a good and safe investment to buy properties in Miami, you have to dive deeper into the market trends and statistics on the past few years.

Top 10 Reasons to Invest in Miami.

1.- Strong International Market

In 2011, almost a third of the Miami residents were not born here. However, half of those residents became citizens, so this only implies that Miami is just very attractive to foreigners. The most numbers of foreign buyers come from Brazil, Mexico, Argentina, Russia, Turkey, China and London. Most of these properties were bought as a safe investment but they are also used as vacation homes and even bought as the result of fear from the political situation going on in their countries. Hence the vast Venezuelan population in Miami today.

2.- The Beautiful Beaches

Most of the tourists come for the beach, although many people want to actually live here as well. Miami’s growth in population is about 2% annually and the beautiful beaches are the most attractive reason why people want to stay. Miami has the fifth fastest growing population in the nation.

3.- The Geographic Constraints

As one of the nation’s fastest appreciation in the real estate market, Miami attracts a lot of people for work and the quality of life. However, developers cannot build housing fast enough to meet demand.

Miami has grown greatly in high-rise construction in areas like downtown, Edgewater and Brickell, thus making Miami skyline the third highest in the United Estates. There are some areas that still prevent developers from building high-rises with the purpose to maintain the Ocean and Intracoastal views, but that hasn’t prevented Miami from becoming the sixth most dense housing market in the nation.

4.- Limited Supply of New Homes

We have to consider an undeniable factor in South Florida, and that is the presence of the massive retiree population. Most of these retirees simply move here for the great weather conditions, but older people that already live here, stay in their homes and never sell.

This fact actually produces lesser turnovers in the Miami market, thus limiting the supply for other buyers. The retirees who do leave Miami seasonally tend to keep their homes as vacation homes, so there’s less competition for limited housing stock.

5.- Employment

Many, many people move to Miami for work purposes. Miami has the largest economy in South Florida and it has the 12th largest GDP in the U.S.

The unemployment rate in Miami is about 4% today, which is aligned with the national average rate of unemployment. Only orlando has a better job market.

6.- Miami is a Tourist Market

The unemployment rate in Miami is about 4% today, which is aligned with the national average rate of unemployment. Only orlando has a better job market.

The Port of Miami is considered the “Cruise Capital of the World”, which means opportunity, opportunity, opportunity to cater to even only tourists.

Landlords can simply rent to tourists who come to Miami for a cruise ship and want to stay longer to experience the city as well. It’s really difficult for people who come on a Cruise line to leave Miami without visiting our beautiful beaches, extraordinary restaurants or to enjoy all our cultural activities like Ultra, Art Basel or the Miami Yacht Show, to mention only a few.

In simple words, a 2 bedroom condo you can purchase for about $350,000 can easily be rented for $2,500 per month. So if you own a vacation home in Miami, can be also turned into an investment property when you are not using it.

7.- Massive Population Renters

More than two thirds of the Miami residents actually rent at rates as high as those in New York. This is partially due to the number of people working seasonally and in temporary jobs in the tourism industry. Once again, this is also due to the limited housing supply against demand.

This is why several real estate investors in Miami buy single family homes, tear them down and build multifamily units and rent them individually.

8.- High ROI’s for Landlords

This is why several real estate investors in Miami buy single family homes, tear them down and build multifamily units and rent them individually.

Investing in Miami real estate can really give you strong returns. The high demand for properties in South Florida relative to demands limits the ability of people to buy and that can create a huge pool of renters. Miami is considered the second in the nation as the most cost-burdened renters in the country, paying more than half of the renters’ income in rent. Rents aren’t as high as they are elsewhere in the nation, but given the lower property values than markets like Silicon Valley or New York City, it is a great ROI.

9.- The Massive Student Market

Miami is considered the second in the nation as the most cost-burdened renters in the country, paying more than half of the renters’ income in rent. Rents aren’t as high as they are elsewhere in the nation, but given the lower property values than markets like Silicon Valley or New York City, it is a great ROI.

Miami is the largest city in Florida, and that alone means that we have several great universities. There are almost 40 colleges and universities within 40 miles in Miami hosting more than 350,000 students.

10.- Miami is Landlord Friendly

Whether you are renting to students, low income families or snowbirds, Miami housing market is a Landlord’s market. Florida doesn’t have any laws on rent control. Security deposits have no cap and you can evict a tenant once they are 3 days late.

We hope these reasons have served as a guide to really consider Miami as your next place for investment. We are always happy to connect with you and answer any questions regarding the Miami market.

Miguel Peralta (305) 988.2269

Marco Peralta (305) 988.2774

See Original Article: http://chicmiamimag.com/should-you-invest-in-miami-in-2020/