This extensive report breaks down average prices, sales, inventory, listings, and pending sales Broward, Miami Dade, and Palm Beach counties for the 2021 market performance as compared to 2020 and even has data for a few years prior to provide you with a reference point.
When the pandemic hit, many feared that 2020 would be the immediate start of another housing crisis with prices crashing and inventory climbing through the roof, but the opposite happened. What instead happened was demand for homes skyrocketed, available inventory dropped to historically low levels, and a frenzied market emerged. 2020 was a roller coaster year which caused 2021 to be another historic year for real estate.
Total Home Sales
Overall sales in Broward County were up 28% over 2020.
Single-Family Sales were up 16% from 16035 sales in 2020 to 18,565 in 2021.
Condo sales were up 42% from 15,441 sales in 2020 to 21,858 in 2021.
Overall sales for the year in Miami-Dade were up 49%. If you were to break condos and single families apart you would see that:
Single Families were up by 19% from 13,250 sales in 2020 to 15,705 in 2021.
Condo sales were up by 81% from 13,095 sales in 2020 to 23,689 in 2021.
Overall sales for the year in Palm Beach County were up 19% over 2020. If you were to break condos and single families apart you would see that:
Single families sales were up by 7% from 18,174 sales in 2020 to 19,495 in 2021.
Condo sales increased by 35% from 13,347 sales in 2020 to 17,952 in 2021.
All three counties saw increases across the board for both single families and condos/townhouses. The greatest increase was for Miami condos year over year largely due to the hit Miami took last year when the borders were closed due to the pandemic. International buyers are a large factor for sales in Miami and when the borders closed, sales plummeted. 2021 was all about those buyers making up for lost time.
Prices in All Three Counties
Prices increased substantially when compared year over year in South Florida. When demand increases and supply is a commodity, prices naturally rise as people are willing to pay more to compete and get what they want.
The three graphs below show average prices by month for Broward, Miami Dade, and Palm Beach Counties:
Overall average prices for the year in Broward were up 20%. If you were to break condos and single families apart you would see that:
Single Family prices were up by 26% from $530,166 to $668,533.
Condo prices were up by 20% from $247,683 to $296,632.
Overall average prices for the year in Miami Dade were up 39%. If you were to break condos and single families apart you would see that:
Single Family prices were up by 45% from $692,691 to $1,007,595.
Condo prices were up by 42% from $432,078 to $612,855.
Overall average prices for the year in Palm Beach were up 26%. If you were to break condos and single families apart you would see that:
Single Family prices were up by 36% from $683,102 to $926,303.
Condo prices were up by 21% from $336,637 to $407,697.
Average prices overall for all three counties for both single families and condos ended the year 29% higher than they did in 2020. This illustrates how intense demand is this year for real estate and how the lack of available homes creates competition, drives bidding wars, and raises prices. The graphs below illustrate the inventory of homes for sale by month over the last four years. You will see that 2020 and 2021 were years that really stand out.
Inventory of Homes for Sale
The six graphs below illustrate the number of homes for sale for all three counties broken down by Single families and Condos/Townhomes by month for the entire year. 2020, if a drop was exhibited, started its downward slope around April/May. 2021 was steadily much lower than any previous year for all counties.
Local buyers, as well as transplant and international buyers, are consuming whatever becomes available as the pandemic has shifted the paradigm in lifestyle. Many who are now working from home prefer to do so from the warmer sunbelt states. Companies are moving as well for lower taxes and a diminished likelihood that a virus flair up will shut business down.
Homes Listed for Sale
Overall homes listed for sale including Singles and Condos for all three counties was up 5.3% from 2020. 2020 saw a halt in listings due to the virus as potential sellers hesitated to list due to COVID concerns. 2021, therefore, saw an increase as the world adjusted to the pandemic and safety measures were put in place.
Pending Home Sales (contracts accepted)
Overall homes pending was up in all three counties by 23.8% year over year with Miami-Dade County being the leader of the three. Even with more contracts accepted year over year, inventory is still down despite the increase in listings which just goes to show how many buyers are out there. Supply can’t keep up with demand. Pending’s being up is always a sign that sales will be up as these accepted contracts will for the most part all turn into closed sales.
2022 Outlook
South Florida saw increases in sales by 31% and average prices by 29%. Listings and Pending sales increased and despite all of the action, inventory is down because supply can not keep up with demand.
International borders opened in fall of 2021 which only intensified the supply issue and boosted prices as a result.
Transplants are coming in at never-before-seen levels from New England, Chicago, New York, and California as buyers are looking for better weather, lower taxes, and more ideal work from home spaces.
Mortgages rates are still low despite the slight increase in the fall and even more recent increase this week, loan limits have increased for 2022, and homeowners have more equity now than ever. It was predicted in last year’s report that 2021 would be a massive year for the South Florida market and it was. All points indicate to another big year for South Florida real estate in 2022.