These housing markets changed the most in a decade — and this South Florida metro soared
At the start of the decade, Florida was the epicenter of the foreclosure crisis. But as 2020 arrives, a dramatic turnaround finds the Sunshine State enjoying one of the most robust post-crisis recoveries in the nation, according to a new report from Redfin, a technology-minded real estate brokerage.
Leading the charge in South Florida: Broward, where the median home price increased 161% from $106,000 at the beginning of 2010 to $278,000 at the end of 2019, according to Redfin.
The median home price more than doubled this decade in Miami-Dade and Orlando, too.
Miami-Dade saw median home values grow 106% from $152,557 to $313,811.
Orlando went up 127% from $114,369 in January 2010 to $259,723 in October 2019.
Florida’s other real estate winners
Other Florida cities also saw values rise over the past decade, though not as high. They included:
▪ Jacksonville, where the median was $142,878 in 2010 and $241,872 in 2019.
▪ Tampa, which started the decade at $133,498 and bumped to $237,522 at decade’s end.
▪ West Palm Beach, which rose from $159,556 to $285,832.
Redfin evaluated the top 50 largest metro areas by current population for this report. To arrive at its rankings, it seasonally adjusted prices, days on market and the volume of homes for sale. The rankings measure change between January 2010 to October 2019.
“The housing market is ending the decade in a vastly different place than it began,” said Redfin chief economist Daryl Fairweather via a release. “In 2010, the market was in the middle of its greatest downturn in history: Home values were plummeting and the share of mortgages in delinquency was at an all time high. Heading into 2020, home values have recovered along with the economy, and now many parts of the country are grappling instead with new challenges like high home prices and a lack of homes for sale.”
Around the country
Largest dollar-value increase: California had eight cities ranked among the Top 10 for home price increases in dollar value, with San Francisco surging from $698,000 at the start of 2010 to $1.4 million near the end of 2019, Redfin found. It was the largest dollar value jump of the 50 metros surveyed by the real estate brokerage.
“Two main factors led to San Francisco’s large price gains: a booming job market and a lack of homes for sale,” Redfin reported.
New Brunswick, N.J., saw the smallest gains in home prices of the 50 markets surveyed over the decade. In January 2010, a median New Brunswick home went for $294,011. In October 2019, the median was $330,815 — a sticker price bump of just $36,804.
Income / housing gap: While Miami-Dade remains one of the nation’s most expensive cities for renters, “Las Vegas, where incomes fell dramatically during the Great Recession and haven’t yet fully recovered, saw the biggest divergence between home prices and incomes,” Redfin wrote.
The median home price in Las Vegas increased at an average annual rate of 14.1% over the decade but the median income declined at an average annual rate of 0.3%. Though prices skyrocketed more quickly in Fort Lauderdale, residents there and in Miami-Dade saw income gains, noted Fairweather.
“If you look at overall home price growth to income growth over the past 10 years, the difference is much more stark. In Broward, between 2010 and 2019, home prices rose 161%. During that same period, incomes only rose 0.9%. In Miami-Dade, home prices rose 106% while incomes also inched up just 0.9%, Ptaszynski said.
The discrepancy in Las Vegas meant many residents couldn’t afford to own a home so investors opted to rent or flip homes, which helped account for the median price rise from $121,698 in January 2010 to $288,711 in October 2019.
Quickest sales: Long Island’s Nassau County was where you wanted to be if you wanted to sell your house fast., according to the report.
When the decade got off to its inauspicious start, it took about 180 days to sell a home In Nassau County. Now, it typically takes less than two months, about 56 days — shaving about four months or 124 days, Redfin reported.
In Miami-Dade, the seasonally adjusted days on market was 72 in October 2019; in Broward, it was 65. The data for 2010 was not included for either city.
“In the last several years, prices skyrocketed in Manhattan, which pushed many homebuyers to consider Long Island, and now demand is very strong,” Redfin agent Peggy Papazaharias said in the report.
Hardest place to find a home: Salt Lake City experienced the country’s steepest drop in home supply, with a 77% drop in inventory. The reason: homeowners stay in their existing homes an average of 23 years versus an average 15 years in 2010, according to Redfin.
This story was originally published December 20, 2019 at 1:59 PM.
