Big-spending homebuyers flocked to Miami-Dade, Palm Beach and Broward counties in December as the South Florida market continues to be fueled by value-seeking out-of-towners.
All three counties logged double-digit increases in luxury transactions last month, according to a report Wednesday from the Miami Association of Realtors.
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Luxury is defined by the association as a property sold for more than $1 million.
In Miami-Dade county, high-end single-family home sales jumped 35.9% year-over-year in December while luxury existing condos surged 47.5% in the same time.
A little north, along the coast in Broward County, home to Fort Lauderdale, a similar wave of buyers was logged.
In Broward’s luxury market, single-family home sales jumped 48.1% and condos recorded a rise of 22.2%.
In Palm Beach County, high-end single-family home sales increased 17.3% annually in December and condos increased 50% in the same time.
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“Palm Beach County mid-market and luxury transactions continue rising as an increased number of buyers from tax-burdened states consider our real estate,” said association president David Abernathy in the report.
Federal tax reform enacted in 2018 raised the cost of living and owning a home in high-tax states such as New York, New Jersey, Connecticut and California by essentially eliminating state and local tax deductions for higher-income earners.
In comparison, Florida has low state, local and property taxes.
Further underpinning transactions is an increase in consumer confidence, low unemployment, and high job creation, the report said. All three counties are expected to see steady growth going forward.