Financial Information

Surprising Real estate updates - Worldwide 2018 report



2018 WORLDWIDE RESIDENTIAL REAL ESTATE MARKET REPORT

Let's start this newsletter with a worldwide residential market update.

The index rate for the average global performance in the luxury market reached it's the lowest level last year. In 2017, there was a 2.1% growth, which dropped down to 1.3% last year. This is the first time since 2012 that this industry showed a slowdown. There are clearly some exceptions. For instance, cities like Singapore. Singapore is ranked 7th and has shown the biggest luxury price growth in its history.

In 2017 there only eleven cities which showed double-digit growth, but in 2018 there were only 5 cities with this growth. Miami is on the TOP-30 worldwide with an annual growth of 3.3%. It is expected to increase to 5.5% at the end of 2019, which will rank the city above a large list of key cities in the US. This growth is due to fair residential prices, and an appealing lifestyle.

On the other hand, some politically unstable countries of Latin American are now seeing buyers moving to Spain looking for more stability. The same happens with Turkish citizens that are now moving in Germany. This has brought wealth into these European countries but has caused a slowdown on the prime local prices of the Latin American/Turkish market. Conversely, European cities have a generally good performance. Edinburgh, Berlin, and Munich are on the TOP 10 with around 10% growth. Cities like Lisbon or Algarve have a positive increase compared to 2017. France had an overall positive performance, excluding St Tropez which had a decrease of -1.5%.

All these analyses depend clearly on the macro and micro context of each city. For instance, the Brexit caused a drop of xx positions for London from 2017-2018. England's capital is now ranked 91st. same happened with New York and its State and Local Tax law (SALT), making this city drop to an 82nd position.

Finally, let's see what the projections for 2019 are. The World economic market will drastically change. People will answer to larger uncertainty and this will be reflected in lower price growth in worldwide residential markets. Residential prices will decrease for cities such as Buenos Aires, Dubai, and Mumbai. They will remain static for cities such as New York and Singapore (which shows that local tax and law regulations will keep moving the market performance). There are also cities like Madrid, Miami, Paris, and Berlin which are expected to continue their growth.

10-MILE LINEAR PARK PROJECT IN MIAMI

Miami welcomes the new park project that will take place below the Metrorail line in Downtown/Coconut Grove and Coral Gables.

This linear-park development started in November of last year and is projected to take 10-mile linear space with a budget of $120 million. It will go from the north of the Miami River, down to Dadeland South.

The main goal of this project is to fight against crime, knowing that Miami is ranked 4th of the most dangerous cities to walk in the US and is the most hazardous place to bike in Florida. The Underline park will give a safer way to get where you want to go, leaving your car behind. I have to admit that I use my car to go everywhere, and this is an extra option that the city is giving us to move and relieve traffic congestion.

The path will be full of vegetation. Flowers, trees, butterfly gardens, waterfalls and there is even a project of spreading orchids all across over the 120 acres of open space. There will be a dog park, an outdoor gym, a basketball court, a large communal table, and more! You just have to look at the renderings of this project to understand how this park will transform Miami. I'm really excited to see the results of this needed solution!

IS OWNING CHEAPER THAN RENTING?

It is a hard question I have to say. There is only one answer to this question and it is... it depends. It depends on a lot of different factors, but the most important is the Location.

It is important to note that on average an American citizen will need six and a half years to save the money to pay the 20% down payment.

Here are the Top-5 cities where mortgage payments are lower than rentals which means you should buy in Miami instead of renting!

1. Miami: That's right! In our beautiful Miami, the average rent is higher than the mortgage by $262. This means that you will pay that monthly extra amount when renting, compared to buying.

Average rent: $1,477

Average mortgage: $1,215

2. Orlando: There seems to be a tendency in Florida for lower monthly mortgage vs. rent payments. In this touristic city, there is a difference of $227.

Average rent: $1,263

Average mortgage: $1,036

3. Virginia Beach: The rent to mortgage difference has a big jump from the last city to Virginia, as there is an average variation of $155.

Average rent: $1,318

Average mortgage: $1,163

4. Tampa: Another Floridian city on the list! With a difference of $120, in Tampa is better to buy a house and pay a mortgage, than renting a place!

Average rent: $1,192

Average mortgage: $1,072

5. Denver: The populous Denver is our last city on the Top-5 with a discrepancy of $110 between rent and mortgage payments.

Average rent: $1,362

Average mortgage: $1,252

So if you are in one of these cities or you are planning to move, the recommendation for you is to start creating wealth buying a home and not just renting it!

APRIL'S EVENT SUGGESTIONS

And all of a sudden, April is here and it comes with incredible activities in the city of Miami! Spring brings even sunnier and longer days, where the only thing you shouldn't be doing is staying home! April is brimming with several events, so if you are feeling indecisive, here are some suggestions for you...

April 1st - 7th: With a projected 80 thousand public, the Miami Beach pride has the first week of the month reserved for a list of events that include a VIP gala, dance festivals, social mixers shows and more! The main goal of this event is to encourage tolerance between all genders and sexual preferences, bringing everyone together in the same community!

April 3rd - 7th: These are the 4 last days to be part of the Miami county fair & Expo! Enjoy a large list of in and outdoor activities for all ages. From live concerts and agricultural exhibitions, up to the renowned Youth Fair. This is the largest ranked fair in the entire state!

April 6th: Join me at the one-and-only Miami Riverday festival! This event featuring free cruise rides down the Miami River. Let's have a day full of out-door live activities that include music performances, environmental and historical education, and more!

April 25th 28th: Be part of the Beach Polo World Cup and enjoy an incredible weekend that features professionals and amateurs polo players battling each other in the sands of South Beach. Watch these six-international teams compete for the desired trophy!

AMARE RISTORANTE IN SOUTH POINTE

Yet again another new treat for the neighborhood! This quality-seeking restaurant fully focuses on spoiling its customers with the best products, service, and ambiance. The Michelin-awarded chef and partner, Cosimo Cassano, is decided now to show us a real Italian eatery.

Located on Collins and 1st street, Amare restaurant offers the most authentic Italian cuisine in Miami Beach. It owes its name to the translation of "Love" in Italian.

With a bright and energetic ambiance, this restaurant has also an Italian classic style, with the hand-painted tiles and classical blue, white and coral shades. There is also a bar located almost at the entrance followed by a terrace with lemon trees and plenty of space. My personal recommended dishes for Amare Ristorante are the exceptional tuna Carpaccio, the raw fish with shrimp salad and the crispy octopus. It was absolutely delicious! I will be going back soon!

DEAL OF THE MONTH: YACHT CLUB #2010

- Listed at $1,075,000

- Bay-front

- Fully remodeled

- 1,090 sqft

- 2 beds / 2 baths

- $986/sqft

- High floor

Related Articles

Get to know our new Portofino Yacht Club website!

Condoideas Realty Group-Newsletter June 2019

June's breezy and warm weather is here and it comes with big news for our Condoideas family! There is no better season to enjoy going to the beach and getting a little tan than in the summer and even more in Miami! Don't forget to use sun protection and drink a lot of water! If you want to freshen up come visit us in our office, we will welcome you with a cold beverage and lots of exciting news on the real estate market! This month we decided to tell you one big surprise that we have been preparing for months! Scroll down and discover more about our new website! Also learn how the prime condos in the Brickell area have been doing in terms of sales compared to 2018. Check our TOP-3 recommended activities for Father's Day and our personal restaurant suggestion of this month! Finally, as every month, we have a deal at the Yacht Club that you can't miss out on especially if you are planning to buy a unit in Miami!

Related Articles

Miami real estate condo performance by neighborhood

Condoideas Realty Group-Newsletter August 2019.

Locals in Miami know that August is a quiet month. Less crowd and emptier beaches create the perfect ambiance or relaxation, serenity, and peace. Since everyone is in vacation mode, let's spice things up with some relevant performance data of the condo market per neighborhood in Miami and Miami Beach. Discover the new trends noticed this year compared to the same period in 2018. In this month's newsletter, we will also introduce one of the newest launched restaurants in the South of Fifth area. Can't wait till you try it ! Last but not least, we bring you the deal of the month that you shouldn't miss.

Related Articles

Miami's real estate is hotter than ever before!

Condoideas Realty Group-Newsletter March 2019

Spring break is here, and there is no better place to enjoy the best out of it than in Miami! If you are in Miami or planning to come, you will be enjoying the most diverse music festivals you could ever imagine. The city will be full of music, dance, and of course, lots of fun.The weather couldn't be better and it is the best time to enjoy the city. In this month's newsletter, I will introduce you to my latest edition of Condo News Miami. Discover our own deal-tracker. Do you want to know which is the most expensive price-tag purchased for a house in Miami? Read more and find out! We know that a lot of you that are planning to come to Miami and you are tired of not finding what you are looking for on Airbnb, so we decided to give you a large list of options. And last, but not least, the deal of the month, definitely it is something you can't lose.

Related Articles

Slowdown in Miami Real Estate?

Condoideas Realty Group-Newsletter May 2019.

May in Miami should definitely be on your bucket list! We are getting closer and closer to summer and the temperature is rising up every day so it's a now or next year kind of situation. Beautiful weather, breezy beach, vibrant nightlife, and incredible events to enjoy with your family or friends. In this month's newsletter, we analyze the first quarter's figures for 2019 compared to last year. Apparently, it hasn't been the best start of the year for condo sales. Foreign buyers have disappeared. We will explain to you all about it in our article