Many are optimistic and hopeful about the year 2020. Here in South Florida there is a lot of curiosity around the real estate market trends in these upcoming months. Agents, Sellers, and Buyers in Broward County are all wondering if this year will be a seller’s market or buyer’s market. Overall 2019 had been a good year for Broward County’s Real Estate market and the big question is will that continue or will the scales tip in 2020.
Since the recession the in 2008 Broward has gone through some pretty low points in Real Estate. Looking back, Florida’s foreclosure rate was at an all time high. According to the Miami Herald’s Redfin Chief economist Daryl Fairweather , “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.” In 2007 there were close to 1,500 filed foreclosures and close to 2,000 in 2008 in South Florida.
Broward County Real Estate market has been on the rebound, where the median price of homes increased from $106,000 at the beginning of 2010 to $278,000 by the end of 2019. That is an increase of 161%. According to Fairweather, “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.” The prediction for 2020 is generally similar to that of 2019, that the housing market is projected to increase. However this does pose issues for some. The sudden surge in home values is making it difficult for home buyers who are now unable to afford the homes they desire. This will be especially tough on millennials, and senior citizens. As millennials are in the market for their first home and senior citizens who could possibly struggle to keep up financially with their current home.
There are many new retail projects in the works here in South Florida and Broward county that will have a major impact on the Real Estate market. Among those projects one of the most talked about is the new development in Dania Pointe Shops of Dania Beach. The new, million square foot retail space will feature store fronts, restaurants, offices, hotels, and even luxury apartments. Another big project on the rise is the 4 billion entertain complex in Northwest Miami-Dade County called American Dream Miami. This would be America’s biggest mall spanning 6.2 million-square- feet, will include over 2,000 hotel rooms, movie theater, water park, theme park, indoor ski slope, and a performing arts theater just to mention a few features. It is believed that the American Dream Miami may have a greater impact on Florida’s economy than the world renowned Walt Disney World.
Although no one can know for sure what 2020 holds in store for Broward County Real Estate the prediction indicates that the market will continue to thrive in a upward trend despite some common issues along the way. The Economy looks as if it is only looking at growth which is positive news for all of South Florida’s Real Estate. 2020 is projected to lean more towards a buyers market but there is still great opportunity for sellers as long as they are strategic.
Written By Paris Gray