South Florida foreign buyer share increased year-over-year and is now nine times larger than the U.S. figure, according to the new 2023 Profile of International Home Buyers of the MIAMI Association of Realtors (MIAMI) released today.
MIAMI, Dec. 5, 2023 /PRNewswire-PRWeb/ -- South Florida foreign buyer share increased year-over-year and is now nine times larger than the U.S. figure, according to the new 2023 Profile of International Home Buyers of the MIAMI Association of Realtors (MIAMI) released today. The 14th annual report, which includes 56 pages of data on foreign home buyer purchases in South Florida, details why Miami remains America's No. 1 international real estate market.
South Florida foreign buyer share --- foreign buyer residential purchases as a percent of dollar closed sales --- increased to 18% in 2023. That is nine times larger than the U.S. figure (2%) and more than two times larger than Florida (6%). Access the MIAMI report here: https://bit.ly/2023MIAMIGlobalStudy
"Miami global sales continue to lead the world," MIAMI Chairman of the Board Ines Hegedus-Garcia said. "An incredible 52 countries purchased real estate in Miami in 2023, buying $5.1 billion in real estate. No other market can compare to those figures, and it's because Miami is a unique blend of vibrant lifestyle, cultural diversity, innovative FinTech scene, modern architecture, eclectic shopping, our proximity to Latin America, and iconic beaches - a city that truly embodies the spirit of possibility in every aspect."
Foreign homebuyers purchased $5.1 billion of South Florida residential properties in 2023, down from $6.8 billion in 2022 but equal to 2021 ($5.1 billion). Global buyers bought 6,200 South Florida properties in 2023, down from 9,400 last year. International sales surged in 2022 because of a generational-high pent-up demand from a locked-out global buyer pool. 2022 sales increased because it was the first year after U.S. borders were reopened after the pandemic, which significantly impacted global real estate transactions.
While its foreign transactions remain strong, Miami continues to also benefit from a historic surge in domestic buyers – particularly from high-taxed, high-density locations such New York, California and New Jersey.
The profile surveyed MIAMI members' international residential transactions for the one-year period from August 2022 to July 2023.
South Florida Secures about 11% of all International Home Sales in the entire U.S.
Florida is the top U.S. destination for foreign buyers (23% of all sales), according to NAR's 2023 Profile of International transactions in U.S. Residential Real Estate. Florida has been the No. 1 state for foreign home buyers for the last 15 years.
More than half of all international home sales (47%) in Florida are in Miami-Fort Lauderdale-West Palm Beach, according to the 2023 Florida Realtors' annual Profile of International Residential Real Estate Activity in Florida.
One in five of all U.S. international home sales happen in Florida and one in two in Florida are in the Miami metro market.
South Florida secures about 11% of all international home sales in the entire U.S. annually.
South Florida Foreign Homebuyer Market Share is Five Times Larger than the U.S. Figure
South Florida foreign buyers purchases accounted for 18% of total dollar volume, according to the MIAMI and NAR report. No other market in the U.S. has those figures.
At 18%, South Florida's foreign homebuyer market is more than nine times larger than the national figure (2%) and more than two times larger than Florida (6%).
Miami-Dade County Has the Largest Share of South Florida Foreign Buyers
Miami-Dade County accounted for the largest share of South Florida's foreign buyers (72%). South Florida foreign buyer sales volume totaled $3.67 billion in Miami-Dade in 2023.
Broward accounted for $1.07 billion; Palm Beach had $270 million.
Colombia: Top Foreign Country Buying South Florida Real Estate
Colombia finished as the top foreign country purchasing South Florida real estate in 2023.
The top countries of origin for consumers purchasing properties in South Florida are:
- Colombia (15% of foreign buyer share)
- Argentina (14%)
- Brazil (7%)
- Venezuela (6%)
- Canada (6%)
- Mexico (5%)
- Peru (5%)
- Ecuador (5%)
- Chile (4%)
- France (3%)
The top-two countries — Colombia and Argentina — account for 36% of all South Florida international closed sales.
South Florida's foreign buyers come from 52 countries. Other U.S. markets are often limited to two or three countries. The diversified number of markets that purchase in Miami allows the region to always post high global sales because when one foreign market declines, others step up to take its place.
Countries purchasing in Miami include: Colombia, Argentina, Brazil, Venezuela, Canada, Mexico, Peru, Ecuador, Chile, France, Spain, Italy, Russia, Boliva, Cuba, Dominican Republic, Honduras, Nicaragua, Uruguay, El Salvador, China, Costa Rica, Greece, Guatemala, Haiti, Lebanon, Poland, Sweden, Australia, Trinidad & Tobago, Turkey, Jamaica, India, Saudi Arabia, Costa Rica, Kazakhstan, United Kingdom, Barbados
Argentina is the No. 1 Country Buying in Miami-Dade County
The top countries of origin for consumers purchasing properties in Miami-Dade are:
- Argentina (17%)
- Colombia (14%)
- Venezuela (13%
- Brazil (8%)
- Mexico (5%)
- Ecuador (5%)
- Canada (4%)
- Spain (3%)
- Italy (3%)
- Chile (3%)
Other countries that purchased properties in Miami-Dade included Peru, France, Russia, Bolivia, Cuba, Dominican Republic, Honduras, Nicaragua, Uruguay, El Salvador, China, Costa Rica, Greece, Guatemala, Haiti, Lebanon, Poland, Sweden, Australia, Trinidad & Tobago, Turkey.
Colombia is the No. 1 Country Buying in Broward County
The top countries of origin for consumers buying real estate in Broward County are:
- Colombia (19%)
- Argentina (17%)
- Canada (14%)
- Peru (8%)
- Venezuela (4%)
- Jamaica (4%)
Other countries that purchased properties in Broward included China, France, Italy, Ecuador, India, Spain, Poland, Cuba, Mexico, Saudi Arabia, Brazil, Costa Rica, Dominican Republic, Honduras, Hungary, Israel, Kazakhstan, United Kingdom, Uruguay.
Brazil is the Top Country Buying in Palm Beach County
The top countries of origin for consumers buying real estate in Palm Beach County are:
- Brazil (18%)
- Costa Rica (10%)
- Spain (10%)
- Trinidad & Tobago (10%)
- Venezuela (10%)
Other countries that purchases properties in Palm Beach included Barbados, Colombia and the Dominican Republic.
MIAMI Foreign Home Buyers Spend 6% More on Average vs. Nation
Foreign home buyers spend more on real estate than other buyers, and South Florida real estate buyers spend a higher median price than other international buyers in the U.S.
MIAMI international home buyers spent a median price of $482,700 for residential properties in 2023. In comparison, foreign buyers in the United States spend $455,200.
Brazilian buyers had the highest median purchase price of South Florida foreign buyers:
- Brazil $990,000
- Venezuela $521,500
- Colombia $446,800
- Canada $437,700
- Argentina $340,400
New York: Once Again Top State Purchasing in South Florida
New York ranked as the No. 1 state purchasing in South Florida for the second consecutive year, according to the 2022 MIAMI and NAR Report. New York accounted for 28% of out-of-state buyers in 2022.
New York, California and New Jersey accounted for 51% of all out-of-state buyers in the Miami area in 2022.
A surge of individuals and companies from high-density, high-taxed locations have relocated to Miami over the past two years. Citadel, a multinational hedge fund company that manages $57 billion in assets, relocated from Chicago with plans on developing a $1 billion Miami office tower and Microsoft launching a Latin America hub in Miami are just two examples.
69% of South Florida International Buyers Paid in Cash
According to the new MIAMI study, about 69% of all international residential transactions in South Florida were made in all-cash. That's 64.3% higher than the percentage of U.S. foreign buyers paying all-cash (42%) and 11.3% higher than the state figure (62%).
South Florida international home buyers prefer condominiums (56%, significantly higher than the U.S. average of 15%. South Florida global buyers prefer to purchase in the central/urban areas (64%), which they intend to use mainly as residential rental, vacation home or both (71%).
73% of MIAMI Foreign Buyers Visited Florida Only 2 Times or Less Before Purchasing
About 6% of South Florida foreign buyers purchased local homes without even visiting Florida in 2023. About 33% purchased with just one visit to Florida; 34% purchased with two visits; 20% bought after visiting Florida three times. About 73% purchased with two visits or less.
About 49% of MIAMI members worked with an international client in the past 12 months. That's more than three times the national figure of 16%.
Survey results reflect MIAMI's commitment to increasing South Florida's real estate brand worldwide and the Miami real estate market's position as a top international destination.
MIAMI has 260 partner organizations worldwide and conducts international outreach on a global level.
About the MIAMI Association of Realtors®
The MIAMI Association of Realtors (MIAMI) was chartered by the National Association of Realtors in 1920 and is celebrating 103 years of service to Realtors, the buying and selling public, and the communities in South Florida. Comprised of six organizations: MIAMI RESIDENTIAL, MIAMI COMMERCIAL; BROWARD-MIAMI, a division of MIAMI Realtors; JTHS-MIAMI, a division of MIAMI Realtors in the Jupiter-Tequesta-Hobe Sound area; MIAMI YPN, our Young Professionals Network Council; and the award-winning MIAMI Global Council. MIAMI REALTORS represents nearly 60,000 total real estate professionals in all aspects of real estate sales, marketing, and brokerage. It is the largest local Realtor association in the U.S. and has official partnerships with 260 international organizations worldwide. MIAMI's official website is http://www.MiamiRealtors.com
Media Contact
Chris Umpierre, MIAMI Association of REALTORS, 3054687047, [email protected], www.MiamiRealtors.com
SOURCE MIAMI Association of REALTORS
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