Because Miami is not worth the high price of homeowners insurance and the property taxes are out of this world compared to the services that local government does not provide. Utilities and maintenance costs are through the roof. I've never seen electric bills as high as those in Miami. Also, the costs of repairing what's usually an annual hurricane damage are nothing close to being realistic.
Most importantly, Miami's condos are built by the lowest bidder. Meaning that construction is lacking all aspects of quality and durability. In my condo, on Brickell Avenue, I can hear my upstairs neighbors as if they were living in my unit. I can even hear then as they sit down for dinner since the thrull of dining chairs travels down from their floor, which is also my roof.
Save yourself the agony and the frustrations of owning anything in Miami and buy elsewhere. You'll get more bang for your buck if you buy in Bethesda, Maryland and an even bigger return if you buy in Washington DC.
Feel free to contact me at your convinience for more information.
NOW is certainly a great time to sort out the opportunities and dive right in.
I have not seen great deals like I see today in over 15 years!
I see many coments and i wanted to add one more thing.
It depends where and what condo, let me tell you , i had a friend ask me to find a condo for rent. When i found that buying in the place where he would like to be was saving him around $ 400 versus renting for
$ 900. a month. Yes buying can be worth it ! !
We are and will continue to be a destination for tourism and foreign investments--in other words, this is the place--and the time--to invest, as long as your strategy is long term..have a minimum 5-year holding agenda, and if you can, stay away from condos for now, and buy a duplex or single family home.
The time couldn't be better. There is a large inventory of condos available and a surplus of motivated sellers that spells savings for today' s serious buyer.
The comps exist in most areas to bring the asking price down considerable and create savings for you.
The right opportunity may be waiting for you but if you don't start looking you will not know of its existance.
Find an agent and get started today. Remember you only have to buy if the deal is right for you. Many of our customers negotiate their purchace price down low enough to cover future price decreased finding comfort with this.
The "Eckler Team"
Overpriced for an investment property isn't just about the purchase price but about the market rent as well. When you move into the purchase of an investment property you need to have a good mortgage partner that will help you digest how the numbers will work for you.
You need to cash flow... so it isn't always about the pretty features and the valet parking... but it is about how much you can take in vs how much you pay out.
so... the question then becomes - can anyone help you find a property at a good price that can produce positive cash flows.
I believe that answer is a yes
Check out my website - http://www.themortgagegotoguy.com
I have several articles geared towards investors which would help you.
If you have any questions or want to look at some properties - do not hesitate to contact me. I can get your mortgage started and get your preapproval to buy. I can also either help you with the Real Estate myself or refer you to one of my best realtor partners who happens to work in the Miami market. She can sniff out the best property to fit your needs.
Buying to rent? The rental market is holding strong, I own a tri-plex in South Miami and is rented year round, that is 100% rental income for the last 3 years. I see a softening comming up, but if you can keep your prices competitive you should not have a problem as more and more homeowners are loosing their homes, many are too afraid to buy, some are waiting for the prices to come down further.
LOCation Location location , remember, that what you need is to stay close to areas where transportation is available. Remember that taxes, utilities and insurance are above national statistics, so do your math.
Realtors may be knowledgeable on current and past prices for their area, but they are NOT experts on future price trends. Realtors are not economists and very few have any business or economic training to speak of. They are SALESPEOPLE. The reality is that they only get a commission if you buy, so they have an incentive to be less then accurate as to their assessments. The few compotent Realtors with integrity would admit that prices are going down in most parts of the country and most buyers could save money by simply waiting for the bubble to further deflate.