0 Home Construction Jumps Up to 8 Year High

Posted on December 22, 2015 by Sean Greco

After surges in home buying last year, home construction had some trouble keeping up.October especially saw construction slow. Low interest rates and low unemployment rates meant many Americans bought their first homes, upgraded to new homes, or signed leases. Demand was up and supply was low. However, the pace of homebuilding jumped in November. Apartment construction in the Midwest and the South boosted building to help it bounce back after a slower October. Construction of single-family homes also improved- it even hit an 8 year high!

Construction of both apartments and single-family homes spiked up 10.5 percent last month, according to the Commerce Department. The pace for construction is now at an annually adjusted rate of 1.17 million homes.

Highest Single-Family Home Construction Since 2008

Last month, construction for single-family homes rose 7.6 percent to 768,000, the highest it has been since January 2008. Construction of multi-family complexes like apartments also rose, 18.1 percent.

Rates of building permit buying indicate that construction will continue in coming months. They rose 11 percent in November.

“An upward trend in total housing construction appears to be re-emerging, following the slowdown in the summer,” said Ian Shepherdson, chief economist at Pantheon Macroeconomics.

Michelle Meyer, an economist at Bank of America Merrill Lynch, estimates that housing starts will average 1.28 million in 2016 and 1.4 million in 2017.

Builder sentiment for home construction has been high throughout 2015 as well. The National Association of Home Builders/Wells Fargo builder sentiment index released Tuesday showed sentiment at 61. Readings above 50 show that builders view construction conditions as good.

Miami has many projects under construction now, and RE/MAX Paradise agents are experts in helping you pick out even pre-construction homes. Our Miami Pre-Construction Center allows you to compare and contrast home construction projects happening in Miami. Please feel free to set up a pre-construction consultation with one of our agents today to help find the best new home for you!

0 Commercial Real Estate Booming Despite Global Slump

Posted on December 2, 2014 by Sean Greco

The US Commercial Real Estate market has no reason to fear the sluggish global economy, according to the National Association of Realtors who recently released the results of their quarterly real estate checkup. The report predicts steady growth in the demand for commercial spaces coming into the new year, with office vacancy rates expected to drop .5 percent in 2015 in response to the increased national employment rate. Retail spaces are anticipated to be in high demand as well in reaction to the recent bump in consumer spending, with vacancy rates in the retail market forecast to reduce by .2 percent this time next year. Americans are headed back to work and hitting the shops again, which only means good things to come for the flourishing commercial real estate market.

Apartment rentals are also predicted to be in high demand with the coming new year, according to the recent report. The NAR’s forecast projected the net absorption from multifamily housing expected to jump from 171,200 to 216,300 in 2015. This thriving commercial real estate market is a nation wide trend, and all states are expected to reap the benefits.

This holiday season marks the perfect time to jump into the commercial real estate market, and there seems no better place to do so than Miami. Where else can you find yourself at the intersection of captivating entertainment, luxury relaxation, and booming international business? If you are interested in all Miami’s commercial real estate market has to offer then don’t hesitate to contact an RE/MAX agent today!

0 Pet Policies

Posted on July 31, 2014 by Sean Greco

For many pet owners, their animals are like family members. There is a reason that dogs are considered man’s best friend. Dogs (and cats we suppose) are excellent additions to any family, especially because, unlike children and other relatives, they don’t talk back. Plus, their love is unconditional, and they view their humans with the utmost adoration. Of course, when searching for a Miami condominium, it can be tricky to know whether your pooch will be welcomed because pet policies vary greatly. There is no hard and fast rule, and condo associations can impose animal restrictions (for example, no iguanas), breed restrictions (usually no pit bulls), and weight restrictions (50 pounds seems to be the standard maximum), among many other possible rules or regulations.

It can be especially difficult to find a pet-friendly place if your canine companion is considered a large breed, a dangerous breed, or a yappy breed. In addition, if you are interested in renting a privately owned condo unit, it is highly possible that the individual owner’s pet policy will differ from the policy of the building. For example, some Miami condo buildings readily accept 50 pound dogs, but an owner who just spent a great deal of money to put down new wood flooring in his or her unit may not be as accommodating. Specifically, many owners impose their own weight restriction, which often does not correspond with the condo association’s rules. This is generally because of an owner’s desire to protect flooring from getting scratched by an animal’s nails or furniture from being chewed or stained. The good news is that more and more places in Miami Beach are becoming pet-friendly. Hell, we’ve seen big dogs on leashes in Whole Foods Market!

Here at RE/MAX Paradise, we understand the importance of pets and strive to ensure that our pet-loving clients find the right home for all members of their family, both human and furry (or maybe scaly if amphibians or reptiles are your pets of choice). If you need help locating a pet-friendly building, whether rental or purchase, we have agents who are extremely adept at finding the perfect location, so please contact us to help!

0 Investing in the Multifamily Market

Posted on July 1, 2014 by Sean Greco

Real estate has been an attractive investment for quite some time, and it is a common investment vehicle for both small and large investors. Of course, there is a rather large element of risk when investing in real estate, but this is true of most investment options. There are many ways individuals can add real estate to their investment portfolios, including buying rental property or engaging in real estate syndication. The latter option allows investors to participate directly in the ownership or financing of real estate projects without having to focus on the day-to-day activities involved in managing property.

For example, real estate investment trusts (REITs), which invest in and own various types of real estate, offer investors the opportunity to purchase shares on an open exchange or to invest in a mutual fund that concentrates on public real estate. Other real estate syndications include corporations, limited liability companies, or limited partnerships that establish, sell, buy, and operate real estate investments. These entities pool money from various investors to create a fund that can be utilized for a variety of real estate projects. Obviously, there are advantages and disadvantages to any investment and risk is inherent. In order to mitigate or prepare for the potential risk, a prospective investor must conduct due diligence to ensure the economic soundness of any investment decision.

Lately, the statistics regarding the real estate sector show that investing in the multifamily market is a sound decision likely to elicit solid returns. In general, a multifamily investment involves the purchase of an apartment complex or multifamily residence with five or more units. This sort of investment offers great cash flow potential because economies of scale reduce the expense of maintaining the property. Essentially, the expenses are spread out over the many units. In addition, in a multifamily building, the investor only has to manage and maintain one structure where all of the tenants are concentrated. This is easier and less expensive than taking care of many structures and many tenants dispersed in single-family homes scattered throughout a city.

According to the most recent analysis, rental apartment values are up 14% since the 2007 peak. Both rents and occupancy rates have been rising gradually across the nation as well. The average projected yield for multifamily investors is approximately 6% in most urban areas. And, this upward trajectory for the multifamily sector is not expected to slow down because the job market has continued to improve and demand for rentals remains strong. The demand for rentals is due, in part, to the persistence of restrictive mortgage lending. However, some of this demand can be attributed to the changing dynamics in the American labor market. People used to obtain a job and remain there for years, even decades. Nowadays, the workforce is far more transient. Thus, for individuals who only spend a year or two at a particular job or in a particular city it often makes more sense to rent. In general, young Americans are marrying, procreating, and settling into a home later in life. Regardless of the impetus for rental demand, there is no doubt that the current multifamily market is an attractive investment opportunity.

RE/MAX Paradise understands all facets of real estate investment, and we are experts on the Miami and Miami Beach real estate markets. No matter what your investment criteria and objectives may be, we have someone who can help.

0 Do’s and Don’ts of Buying Surfside Condominiums

Posted on August 9, 2013 by Sean Greco

Located on ocean-side property, Surfside real estate gives you easy access to all that Miami has to offer. The small town features family-friendly neighborhoods and plenty of shopping and dining options. You can walk to local shopping districts, public beaches, playgrounds, and a community center from any home in the area.

Whether you’re purchasing Surfside condominiums as a vacation or getaway property, or you want to settle in the luxurious Surfside setting, there are some dos and don’ts to pay attention to when buying your condo.

Do inspect the building and condo before making a purchase. Look at the specific unit for sale to ensure there aren’t major problems with flooring, cabinets, and other amenities. Walk through the building as well; you don’t want to buy a luxury condo in a building that doesn’t live up to the elegance of your unit.

Do talk to neighbors when looking for Surfside luxury condos. Ask about home owner’s associations, condo fees, and how current residents feel about any condo maintenance staff.

Don’t limit your search by too many factors. Be willing to think outside of the box and look at a unit with a different number of bedrooms or one that has a gas stove instead of an electric stove. You can change certain things in the future if the condo is otherwise perfect.

There are many things to consider regarding pricing and location.

Category Archives: Apartments