The wealthy and well-known in South Florida are paying obscene sums of cash

The continued stampede of the wealthy and well-known in South Florida is driving actual property costs to new highs.

In accordance with the Serhunt South Florida report launched Thursday, the typical value of a variety in Palm Seaside — dwelling to a rising roster of celebrities and financiers — reached practically $16 million within the first quarter of 2022.

The research discovered that restricted stock and overwhelming demand drove the typical worth of Palm Seaside pads up by 44% in 2021 in comparison with the identical quarter.

In accordance with The Actual Deal, the quarter noticed a number of stratospheric trades — together with the $45 million sale of the house of the Princess of Jordan.

The typical worth of a Palm Seaside home rose from about $7 million within the first quarter of 2021 to about $10 million throughout the identical interval this yr — a 46% improve.

Median Palm Seaside apartment costs additionally skyrocketed over that stretch, rising from $1 million to just about $1.6 million — a 52% improve in only one yr.

New developments are taking place quick in South Florida.
Bloomberg through Getty Photos/Eva Marie Uzcategui

Serhunt’s director of market intelligence, Garrett Derderian, mentioned the common eruption of “aggressive bidding wars” sparked unprecedented numbers.

“The South Florida Housing Market Had The Benchmark In The First Quarter As Costs Reached”
Document ranges amid restricted provide,” Derderian mentioned in a launch.

Components of Miami additionally continued to extend actual property gross sales within the first quarter of the yr — Derderian famous that consumers have been paying Gotham-level costs.

“Downtown Miami has seen an inflow of latest improvement condos being constructed, which are a magnet for well-heeled consumers who’re shopping for properties at Manhattan-like costs,” Derderian mentioned.

a "For sale" West Palm Beach, Florida, US  sign in an outdoor
Demand pushed up the typical Palm Seaside dwelling worth by 44%.
Bloomberg through Getty Photos/Marco Bello

The typical value of single-family houses within the space elevated 41% within the first quarter of 2022 to $1.3 million.

Higher Miami Seaside additionally noticed document highs in single-family houses, with common costs up 19% to $2.5 million.

Derderian cautioned that South Florida’s dizzying climb might sluggish within the coming months.

“As we transfer into spring, we count on a decline in dwelling appreciation
Given fast progress over the previous yr and a half, coupled with rising mortgages
Charges have elevated quicker than anticipated,” he wrote within the report.

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