Miami beats Los Angeles and New York for the highest risk of a housing bubble
“In contrast, prices in medium- or low-risk cities fell by about 5%, while rents and incomes were low. Historically, worsening affordability and a widening gap between prices and rents have been precursors to housing crises.”
While Florida remains attractive because of its zero-tax and near-zero property taxes, the report notes that regulatory pressures are hitting the state’s middle class as owners of older condominium units are hit by rising maintenance and investment costs.
Miami REALTORS Real Estate Executive and Attorney Danielle Blake and Douglas Elliman agent Jessica Julian spoke with Fox News Digital about two recent legal changes in the Florida market.
“Although price growth is expected to worsen in the coming quarters, a sharp correction seems unlikely at present,” the report said.
The Magic City has been the financial center of names such as Amazon founder Jeff Bezos, financier Peter Thiel, Google founders Larry Page and Sergey Brin and Meta CEO Mark Zuckerberg – some of whom recently moved out of California ahead of the proposed wealth tax.
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Unleash prosperity founder Steve Moore and Heritage Foundation chief economist EJ Antoni discuss Bernie Sanders’ push for a billionaire tax in California on ‘The Bottom Line.’
“Miami’s coastal appeal and favorable tax environment continue to attract young people from the US West and Northeast, as real estate prices remain well below those of New York and Los Angeles,” UBS noted.
Miami and Los Angeles lead the US in the risk of a bubble, as issues of “law and order” or “quality of life” in cities like San Francisco affect their housing trends, the report added.
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