Oct
24
Job Growth Keeps Market Steady in Miami
ByThe city’s multifamily market is fully packed. Although enjoying solid fundamentals, one of the area’s biggest challenges is the substantial amount of new supply. This has put a damper on rent growth, which started decelerating in late 2014, going from a 6.1 percent increase to 2.0 percent as of August 2017.
Miami’s multifamily market is fully packed. Although enjoying solid fundamentals, one of the market’s biggest challenges is the substantial amount of new supply. This has put a damper on rent growth, which started decelerating in late 2014, going from a 6.1 percent increase to 2.0 percent as of August 2017. Population and job gains even out the situation, producing a healthy demand and ensuring that new units are slowly but steadily absorbed. However, the availability of low-cost housing is still an issue. Complicating things is a new South Miami ordinance that requires solar panels on all new residential projects, which will increase construction costs and make it more difficult for developers to pencil out low-cost units…
