International real estate investors are making their move in Miami – and they’re driving up condo prices in the process. While the previous condo boom in Miami has been described as “fueled by thousands of U.S. consumers and condo speculators using 90 percent to 100 percent leverage to finance their purchases,” today’s “new” boom is supported by foreign buyers investing with cash[1]. Miami’s year-over-year condo sales improved by 54 percent in June, and the spike is also fueling new construction starts and the resumption of stalled, existing condo projects.

In June, 59 percent of closed condo sales were cash transactions and analysts are hoping that Miami will buck state trends, which have been up and down over the year[2]. “Miami real estate is outperforming the state and the nation and continues to grow stronger every month,” said Ralph De Martino, Miami Association of Realtors Residential (MARR) president, describing the situation as a “remarkable market strengthening.”

Some analysts are even predicting that there will be a “condo shortage” in Miami by the end of 2011. Do you think that this new market can continue to grow?

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[1] http://www.worldpropertychannel.com/us-markets/residential-real-estate-1/miami-condo-market-the-blue-doral-hyatt-residences-trump-hollywood-the-related-group-jorge-perez-miami-association-of-realtors-edgardo-defortuna-fortune-international-w-south-beach-craig-studnicky-related-isg-4576.php

[2] http://www.worldpropertychannel.com/us-markets/residential-real-estate-1/miami-condo-sales-miami-home-sales-international-home-buyers-in-miami-miami-association-of-realtors-condo-foreclosures-in-miami-bulk-sales-national-median-existing-home-price-4566.php