Miami Real Estate Learning Center

THE HOUSING MARKET FREEZE: WHY BUYERS ARE MIA?

Homeowners who locked in ultra-low mortgage rates during the pandemic are finally starting to sell. However, high home prices and rising interest rates have kept many buyers on the sidelines. January saw the lowest pending home sales in years, despite more homes being listed. Experts point to the "lock-in" effect—homeowners who refinanced or bought during the pandemic with rates between 3% and 4%, now hesitant to sell as rates rise to 7%.

Why Homes Aren’t Selling?

Normally, more listings would excite buyers, but with mortgage rates near 7% and the average home price over $418,000, many are holding off . As a result, homes are sitting on the market for nearly two months, a five-year high. January also saw over 41,000 home-purchase agreements fall through, the worst rate since 2017.

Opportunities for Buyers?

For those willing to take the plunge, there’s more room for negotiation. With more homes on the market, buyers now have more leverage, and 23% of sellers reduced their asking prices—the highest rate for January since 2018.

Price Cuts in Hot Markets

Price reductions are especially common in markets like Phoenix (33.5%), Tampa (32.4%), Jacksonville (30.8%), Orlando (29.1%), and Dallas (28.7%). While Miami is still lagging behind with a 10% decrease, a noticeable shift in the market is becoming evident.

If you’re a homebuyer, this could be the time to negotiate a better deal and I'll negotiate the best one for you.



NEW FLORIDA LAW AIMS TO FIGHT HOME TITLE FRAUD

A friend of mine recently experienced home title fraud, and after hearing about her situation, I felt it was important to make you all aware of this growing issue.

What is Home Title Fraud? Home title fraud happens when a criminal forges a deed to transfer ownership of a home without the owner's knowledge. They may sell the property or take out loans, leaving the owner unaware until the mortgage is unpaid, and the bank forecloses. Fraudsters often target homes with equity, forging documents to claim ownership. In some cases, they steal the homeowner's identity to carry out the scam.

Protecting Your Home from Title Fraud Home title fraud is a rising crime where criminals illegally transfer property titles, even if the home is occupied. A recent study found mortgage fraud scams increased by 51% last year. Often, victims don’t know their title has been stolen until it’s too late.

One fraudster served 12 years in prison after stealing titles and taking out mortgages on homes in Florida and other states. Florida is now offering title alert programs to help homeowners stay informed and prevent fraud.

To protect your property, sign up for title alerts in Miami-Dade County here and stay vigilant!



BOOST YOUR HOME'S VALUE WITH THESE UPGRADES

Your home is a major investment, and while you can’t control everything in the market, there are upgrades that can boost its value without breaking the bank. Here are a few ideas—ranging from quick tasks to longer-term projects—that can increase your home's worth in Miami.

Interior Paint - A fresh coat can transform any room. Neutral whites are popular, but bold colors make a statement. Time: 1 day to 1 week | Cost: $$

Completed Basement - Turn unused space into a media room, office, or guest suite. You can recoup 70-75% of the investment. Time: Few months | Cost: $$$

New Windows - Energy-efficient windows boost efficiency, curb appeal, and safety, with a return of around 85%. Time: A few days | Cost: $$

Exterior Paint - A new coat of paint can boost curb appeal. White is a top choice for increasing value. Time: Few days | Cost: $$

Refreshment Corner - A designated coffee or drinks station can increase your home’s value by 2.5%. Time: Short installation | Cost: $

Outdoor Shed - A shed can offer extra space for storage, an office, or a guesthouse. Time: Delivered in a day | Cost: $$