IntroductionMiami is a financial, economic and cultural center in the south of Florida. As a matter of fact, it was ranked 7th in the US in 2010 in consideration of fashion, entertainment, commerce, education, finance, culture among various sectors. It was also ranked as the cleanest city in America in 2008 due to the large green spaces, good quality air, clean streets, clean fresh drinking water and the recycling programs throughout the city. With the warm and short winters and hot humid summers, the city of Miami is a home to numerous parks, entertainment venues, theaters, art centers and museums. The Arsht center of Adrienne for performing arts is the latest inclusion to the arts scene of Miami.
With its tropical climate and a worldwide popular beach, the city of Miami is a multicultural and international icon. The real estate only covers thirty six square miles for the 400000 residents , which is relatively small putting into consideration the population of the area which is approximately two and a half million. Finding a perfect place to live in Miami will require some good luck, although once you do, an excellent bend of culture, climate and style will certainly be yours to take as you prefer.
In this article we will have a look at various thing involving average rent in the city of Miami and rent of some of the top neighborhoods in this region.
Apartments Units In MiamiThe City of Miami in Florida is among the fifty metropolitan areas in the US where construction or development of new buildings especially apartments is very challenging. As a matter of fact, a certain study ranked this city as the fourth hardest city to construct new apartments out of the fifty metropolitan areas. This major obstacle can help to ease the housing problem that has resulted into what many professionals are referring to as affordability crisis. This ranking, entitled Apartment construction barriers, was authorized by 2 trade landlord groups so as to quantify the demand of rental housing in most cities of the United States and the difficulties encountered by developers during the delivery of these apartments. Some of the factors that were analyzed included local regulations plus size and availability of development land.
The various index scores of the fifty metropolitan areas ranged from those most difficult to construct new apartments at 19.5 to the easiest at 5.9.index score for the city of Miami was 9.3 just behind Boston, Baltimore and Honolulu.
According to research, Miami is the home to more than one million apartment inhabitants and has approximately 472k apartments units. This city is estimated to have a demand of extra 185k new apartments units by 2030 which should be of all types and different prices. Miami apartment owners, managers, developers and their tenants contribute about $18 billion per year to local economy and this number is projected to go higher with the increasing apartments demand.
Moving away from the economic impact, the research demonstrates the increasing demand for extra apartments since cost effective housing is becoming increasingly scarce plus more people are opting to rent rather than purchasing the homes they reside in. In order to meet apartments demand in the entire nation, developers must establish more than 325k new apartment construction projects annually on average. Nevertheless, the study demonstrated that only 244k new apartment construction units per year were developed from 2012 to 2016 for the building with more than five units. The scarcity of cost effective rental housing is expected to continue creating significant challenges unless the leaders of private and public sectors undertake innovative actions.
Most of the residents of Miami cope with their average rental which is higher than national average prices and average salaries which is lower than national average salaries. The average pay of the citizens of South Florida, including Miami is $45110 per year. However, despite the scarcity of rental housing, Miami is a home to an increasing number of new housing projects, either proposed or under construction.
Renting In MiamiFirst and foremost, it is worth noting that majority of the rental buildings in Miami, South Florida are condominiums although some apartments exist in this area. It is also advisable to enlist a specialist if you are considering renting a place in this area. The living cost in Miami is generally higher than national average. Renting condominiums or apartments in this area may certainly cost a lot due to the fact that the owner takes responsibility of assessment fees which is simply the payments made for the purpose of overall property upkeep and maintenance. Apart from the extra costs, condominiums can somehow be confusing due to the extra stakeholders involved such as tenants, unit owner and condo association. Bear in mind that since these units belong to someone, people will be more concerned regarding the overall upkeep and maintenance of these buildings. You should allocate yourself a period of about four to six weeks in order to get an apartment unit in Miami, otherwise you will get a place below your expectations. Additionally, the months of August and September are most likely featured by tropical storm activities such as Hurricane Harry and finding an apartment may be difficult. In order to rent an apartment unit in Miami, you only need income statement proof, credit report, references and rental history.
Average Rent In MiamiIn the city of Miami, as at November 2018 the average rate of renting an apartment is $2230. This is a decrease of 1.48 percent from the previous month and an increase of 8.92 percent from the previous year when average rate of renting an apartment was $2031. Additionally, the average price of rent in Miami for the 1 bedroom apartments is $1908 per month, which is an increase of 8.91 percent from the previous year and $2508 per month for the 2 bedroom units, which is an increase of 8.09 from the previous year.
As at December 2018, the average rate of renting an apartment is $2013. This is a decrease of 1.48 percent from the previous month and an increase of 8.92 percent from the previous year when average cost of renting an apartment was $1981. The average rate of renting studio apartments is $1286 per month, for one bedroom units average rent is $1843 per month while for two bedroom units average rent is $2268 per month.
An apartment in Miami has an average size of 836 sq. ft (square feet) although this greatly varies depending with the type of apartment. A studio has an average size of 520 square feet, 1 bedroom apartment units has an average size of 727square feet while the 2 bedroom apartment units in this area has an average square footage size of 1027.
The most cost effective neighborhoods within the City of Miami include Nautilius, Sunset Islands and Oceanfront all with an average rent of $1494 per month. Other amazing prices that are lower than the $2013 per month average rate of the city of Miami and are certainly worth consideration include Biscayne point, Normandy Isles and La Gorce, all with an average rent of $1809 per month. Some of the most costly neighborhoods in this region include West Avenue, Star Island and Venetian Islands all with an average rent of $2136 per month.
Rent Trends In MiamiOver the course of the last six months, the average cost of renting an apartment has experienced an increase of $28 which is basically by 1.3 percent. The average rent for the 1 bedroom units has increased by 1.1 percent ($20) while for the 2 bedroom units has increased by 2.5 percent ($62). The average rent per square footage also decreased from $224 to $221.
The most costly neighborhoods rent for apartments in Miami are Downtown, Coconut Grove and West Flagler while the cheapest neighborhoods are Little Havana, Overtown & Little Haiti.
For January 2019, according to a report on Miami rent, apartment rents is continually increasing as compared to the previous month after comparisons made including various neighborhoods within Miami.
The rents in Miami have experienced a moderate increase over the previous month where the rents have experienced an increase of 0.3 percent and a slight increase of 1.4 percent when compared to same month in the previous year. Currently, the median rates for 1 bedroom apartment units within Miami are standing at $1080 and for the 2 bedroom units rent are at $1370. This is surprising the 3rd consecutive month that Miami has experienced increases in rent since the decrease in September 2018. The growth of rent in Miami has continued to lag behind the 1.7 percent average growth of the state although it exceeds the 0.9 percent of national average growth.
Additionally, throughout the previous year, apart from the city, the average rent has also occurred in the whole metro of Miami. Certain statistics indicate that out of the ten largest cities in Miami metro, nine have experienced price increase. For instance;
• Miami Beach experienced a rent decrease of 1 percent, which is the biggest decrease in the entire Metro and has the least costly rents with the two bedroom unit at the average median rent of $1260.
• The Beach of West Palm has experienced a 3.1 percent increase which is the fastest growth of rent in the Miami metro with the 2 bedroom units costing $1380 and the 1 bedroom costing $1090.
• Pembroke experienced an increase of 0.1 percent over the previous month and an increase of 1.2 percent over the previous year. It is considered to have most costly rents out of all large cities in this Metro with the 2 bedroom median standing at $2410.
Average Rent For Some Neighborhoods In Miami
PinecrestThis neighborhood is highly recommended for the people visiting South Florida in search of large lots, newer construction and top schools. It is very popular for the caliber of public and private schools, which make it quite attractive to the families who are relocating to Miami. The Palmetto and Pinecrest schools are among the best schools in the US and are acknowledged worldwide. Some few years back, Pinecrest was just open land that was dotted with mango and avocado orchards. The large majority of homes in this neighborhood have a pool.
The average cost of renting an apartment unit in Pinecrest neighborhood is $1698, which is not such a significant change compared the previous year’s average rent which was $1706. The studio apartments average rent in Pinecrest is $915 per month, for the one bedroom units is $1528 per month while for the two bedroom units is $1891 per month.
An apartment in Pinecrest has an average size of 838 sq. ft (square feet) although this greatly varies depending with the type of apartment. A studio’s average size is 445 square feet, 1 bedroom apartment units has size of 692 square feet while the two bedroom apartment units in this area has an average square footage size of 1025.
Key BiscayneThis is a wealthy and exclusive neighborhood in Miami. As a matter of fact, it is a 2 miles wide and 4 miles long barrier island. It is located opposite Miami Beach at one side then Brickell Avenue & Coconut Grove the other side. It is linked to mainland via a causeway. Miami city is about seven miles away from this neighborhood. Key Biscayne is currently home to about 10000 citizens and has roughly about 1300 Miami homes for single families and more than 5000 condos/units for the multi families. It has the local schools up to grade 8 plus Coral Gables and students Senior High. I t is amazingly beautiful and has incredible views to Atlantic Ocean and downtown Miami wonderful park areas. The condos in Key Biscayne are in an excellent choice if you are searching for condo lifestyle with a relaxed tropical island life. Most parts in this region are managed as largest plantation of coconut In the United States. Currently, this scenic region is situated between two parks that is Bill Baggs Fl state park to the south and Crandon Park to the North of this island. It is located distant enough from the turbulence of downtown to ensure have a relaxed life and convenient beach access. Apart from the beautiful beaches, this island is popular for its Crandon golf course, marina, tennis center, lush forest, exotic wildlife and mangroves. Interestingly, most residents in this region prefer buying golf carts to cars to move around the town with certain local businesses additionally designating parking spots for the golf carts.
The condo developments in this neighborhood offer a range of selection, from traditional low-rise developments to the latest waterfront towers that have certain amenities. Sopme of the perfect choices of the luxury complex condos in this region include Club Towers, Mar Azul, Key Biscayne Towers, Ocean Towers, Commodore Club, Key colony, Oceana and the Residences of Grand Bay. Most of these condominiums are only thirty minutes from the international airport of Miami, fifteen minutes from Brickell Avenue & Miami downtown and twenty five minutes from the South Beach.
The median value for homes in this region is $1102300 which is a decrease of 4.9 percent from the previous year although it is anticipated that this value may experience an increase of 4.1 percent the following year. Median price for one square foot within this region is $727, apparently higher than median price of West pal Metro Beach which averages at $222. Median price for renting within Key Biscayne neighborhood is $4750, also higher than median of West pal Metro Beach which is $2100.
First step withinin foreclosure process is Mortgage delinquency, which is when the homeowner declines to make mortgage payment. Delinquent mortgages percentage in this region is at 1.7 percent which is apparently higher than 1.1 percent of national value. The home values in the United States have experienced a national decrease of more than twenty percent from their highest value at 2007. As a result, majority of the homeowners are currently underwater that is they home value is less than the amount they owe. The percentage of homeowners in Key Biscayne underwater of their home mortgages is currently 4 percent, which is below that of West pal Metro Beach which is 7.2 percent.
Coconut GroveThis suburb is situated in the Northern territory in Darwin Municipality in Darwin city’s local government. Its population is 2849 citizens with $911 as their average income. This is the original neighborhood of the County of Miami-Dade and was established by a broad range mix of intellectuals, pioneers, adventurers and artists. This region has a tropical escape which is an excellent option for anyone to escape from the complicated city life. It is situated in the center of Miami, although completely quaint and separate. Coconut Grove offers a laid-back and warm atmosphere with galleries sidewalk cafes, boutiques, restaurants and sailboats which are anchored by the bay. The unique bohemian flair & tropical canopy of this neighborhood makes it one of the City of Miami’s preferred neighborhoods for the tourists and locals. Residing in this neighborhood, particularly in South Grove, the backyard will be surrounded by shops, restaurants and the tree canopies. There are also meandering streets, the lush tropical vegetation and bike paths. You will have convenient access to the international airport of Miami and the beaches. Additionally, there are some top schools (private) that are scattered throughout Coconut Grove. Home styles in this region vary significantly from a certain cottage next to the Mediterranean villa up to certain properties of historic landmark and modern developments. Coconut Grove houses many outdoor cafes, art festivals, fresh markets and bookstores.
Whether you are search of culture or history, you can visit 110-year Barnacle historic state park (historic home to Ralph Munroe, pioneer and Commodore) and the city hall of Coconut Grove. The Vizcaya Gardens and Museum provides ten acres formal gardens plus certain Italian design villa that was constructed by an industrialist and art collector James Deering in 1916. There is also the science and space planetarium of Miami Museum that has light shows and exhibits that are family friendly. Due to its art, entertainment and history, homes in this neighborhood are highly demanded and you will mostly find condos and homes of single families in this region since it offers various opportunities in the real estate industry. You can purchase or rent a house, waterfront property or a condo whether in West Grove, South Grove, Center Grove or North Grove. This popular neighborhood has many costly single family houses and condominiums. Arts and nightlife are perfectly represented in this city and you may even come across some of your favorite celebrities.
The average cost of rent in Coconut Grove is $1749 per month with median price of houses being $619235 which is an increase of 17.88 percent from the last three years and median price of apartment units standing at $313946 which is an increase of 2.22 percent from the last three years. Within a period of one week, the average rent is $555 and the rental return is at 4.12 percent. Before a house is sold in Coconut Grove, it takes 277 days on average while apartment units take 298 days. In the course of last year by one, nine houses and 12 apartment units were sold. The studio apartments average rent in Coconut Grove is $750 per month, for the one bedroom units is $843 per month while for the two bedroom units is $1505 per month.
The median price of buying a home in Coconut Grove (North) is 221 percent above national average price, median rent is 48 percent above national average and the occupied renter households number is 25 percent above national average.