I live in the Miami area but do not invest here...and shamefully haven't learned much about the market whatsoever. So here I am with a very basic question:
What are the popular submarkets you would recommend for long distance investors? Yes, this is a relatively broad question but what comes to mind first? Ok, some other criteria:
1) Good for running/jogging around the neighborhood. That's how I want to get to know the area.
2) Relatively safe as well (so I can run and bring a camera without much worry)
3) Places that are popular with investors, particularly where long distance investors would want to check out
4) If it is undergoing (or has the potential to undergo) rapid transformation then even better!
Thanks so much for your suggestions!!
Hey Maxwell Coconut Grove is going to be the top option. Checks all your boxes; scenic neighborhoods right next to or near the water, the expansive centrally-located shopping/dining complex Coco Walk is nearing the end of it's massive reconstruction, huge new luxury condos just built right across from the marina. A lot to check out for content creation and peaking the interest of long distance investors. However, in my experience most foreign investors love to follow the hottest trends which in Miami IMO is still the luxury condo market. Had a really big spike in 2017-18, got way overvalued then subsequently overbuilt, but inventory cleared and the overwhelming buyers market is starting to give way. The safest bets for investor popularity are usually the Sunny Isles, Brickell, and now Edgewater submarkets. I find Coral Gables to have the most stunning streets and homes, but there is consistently low inventory (in comparison to the rest of the county) and it's going to cost you a pretty steep price/sqft. Hope that gives some kind of snapshot, if you have any questions let me know I'd love to help.
Thanks @Robert F. ! I am actually pretty familiar with the Grove and Coral Gables...not as an investor but just going to those areas for various reasons from time to time. Sunny Isles is a whole other level I'm sure. Edgewater I will need to check out...have been up around Midtown and Wynwood quite a few times but never had a full grasp of "Edgewater" although I'm guessing I've passed the area once or twice.
I'll reach out in the future if you don't mind sharing a few more details!
What kind of asset class are you looking to invest into? Condo? MFRs or SFRs? Or, open to all?
Hi @Malgorzata Sadowska ,
I am not planning to invest myself. We are finished investing for the foreseeable future, maybe again in the next down cycle (which could actually be soon I suppose)
I am inquiring because I'd like to learn more. So I guess I'm interested in what other investors, especially non-local ones, are interested in.
TL;DR - Open to all, unless there's a class you feel is best-suited for long distance investors.
This question is really too broad. I am not local but have done enough work to know that there are really many different markets just like in NYC. What kind of non-locals? Those from overseas looking to park money in FL? Transplants from NYC going to FL? Up and coming areas getting more gentrified? People buying condos to rent out? Snow birds? Non-local is a very broad in a place like Miami vs. if you were looking at say Toldeo it would probably be just homeowners and investors
So for instance a condo at say $300K might not sound like a bad deal for someone from NYC but might not be a good deal for you, its just good in comparison.
To me, this makes it a much harder market vs. many others where rental yield and some type of pricing framework exists.
@Malgorzata Sadowska I am looking into Miami feel free to message me. Won't be pulling the trigger for 6 months though unless it is a very good deal.
I'm not all that familiar with NYC markets, however in regards to investor interest, the miami sub-markets are pretty straightforward. Condo/rental markets are concentrated on the waterfront strips in the city (coconut grove, brickell, bayfront downtown, edgewater, etc.), and then further up miami beach into sunny isles/bal harbour. There's a few popular buildings in south beach and south of fifth but they're not huge markets. For single family homes you have established markets in coral gables, pinecrest, south miami, and miami beach. Then up and coming markets in wywood, midtown, and mimo districts. All markets saw a build up of inventory across 2017-18 causing a pretty relentless buyers market. Over the past couple of years we've seen that nearly clear, and with the current global uncertainty I wouldn't be surprised if investors who had interest in branching out to smaller, more up and coming markets, start to fall back on the larger staple gateway markets of NYC, Miami, LA. When it comes to pricing structure; the rent per square foot, price per square foot, and property appreciation are relatively uniform across the individual submarkets so if you wanted to calculate or even model out potential rental yield it shouldn't be a large hassle.
Little Havana; Hollywood (broward & would meet your criteria); Westchester; West Miami; around FIU; Norther part of Miami Beach.
@Charles Worth Hey man thanks for chiming in. I think you hit the nail on the head but you're also overcomplicating my question. It was a broad question seeking a broad answer. I want to be inclusive of any and all submarkets that are of interest to long distance investors. I can use some of my own criteria to narrow down from there, but since I am not buying and it's just for research, it isn't even that crucial to narrow down. I enjoy reading about all kinds of places, studying numbers, and reviewing tons of listings.