Miami is still experiencing an unprecedented real estate boom fueled by a robust pool of wealthy out-of-town buyers and projects built by experienced, well-financed developers, according to prominent real estate insiders. Yet, big drops in November condo sales and the weakening buying power of foreign investors could mean the boom is in for a slowdown in the coming year, some economists and real estate analysts say. Developer Richard LeFrak told The Real Deal last month that he doesn’t see Miami’s current cycle slowing down soon. “I’d be worried if interest rates go up and consumer confidence drops,” LeFrak said, speaking at a sales party for his 1 Hotels & Homes South Beach. “But the U.S. economy is doing well and the stock market is high.”
LeFrak cited the dramatic increase in the number of buyers from the northeastern U.S. over the past two years as evidence of a continually bullish Miami market. “These are the people paying the big prices in Miami Beach…They all like Miami because it’s an exciting place to have a home,” he told TRD.
Read more at: TheRealDeal.com.