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Florida has received more new residents than any other US state except Texas. According to the US Census Bureau, Sunshine State welcomed more than 210,000 new residents in the 12 months ending July 1, 2021. Much of this audience came from the Northeastern states and California, in search of quality of life and less taxes. The significant influx of people has considerably benefited the Florida’s real estate market, with consequent appreciation of properties, especially in the cities of Miami and surrounding cities.
The influx of new residents has not stopped and 2022 also looks to be a promising year. It is estimated that property prices will continue under pressure due to low inventory and the strong pent-up demand from international buyers, the so-called “pent-up demand”, which came to light after the recent reopening of the American borders to several countries.
The new wave of immigrants brings with it some trends for the 2022 real estate market. Below we comment.
1 – Flexible lifestyle
Unsurprisingly, remote work, or hybrid work (partly at the office and partly at home-office) is here to stay. The pandemic has shown that the new, more flexible dynamic is perfectly possible and, in most cases, more productive. Not to mention the increase in the quality of life for employees and collaborators.
Hundreds of thousands of Americans sought out homes and apartments to spend long periods in Florida during the pandemic years. Many of them decided to stay permanently, which boosted the numbers we commented on in the introduction to this article. However, most of this audience that took advantage of the new dynamics of remote work, did not abandon their original homes and just took the opportunity to spend a longer period of stay at Sunshine State.
This new lifestyle is the trend!
Florida construction companies are already planning their new projects taking into account this new market, where people spend periods (short or long) in Florida, working or not, but remain residing in their original states. Check out a list of condos that allow short-term rental in Miami
The new trend is being seen mainly in the city of Miami. Developers are looking to meet the new flexible style of stay by delivering turn-key, fully furnished and strategically decorated homes to share. In this way, the owner can use it while he is in Florida and rent it for the rest of the year, earning income and covering the property’s monthly expenses. In many cases, it is possible to see profit in the operation.
The city of Orlando already has this tradition, offering several vacation home condos near the theme parks, located in neighborhoods with specific zoning for the practice of short-term rental, such as the city of Kissimmee, already well-known by tourists. However, the city of Miami has always been stricter when it comes to rental rules. Fortunately, developers and municipal authorities have reached an understanding to be able to offer this type of product. Miami Downtown area is the one that concentrates most of the new projects in this regard. Some of them are District 225, Natiivo and 501 First Residences.
Following the trend, another brand new one is coming to Downtown Miami, inside mixed-use complex Miami Worldcenter. It will be called The Crosby! The project will offer studios, 1 and 2 bedroom furnished residences with AirBnb capacity, starting in the low 300 k.
A recent report released by AirDNA shows that average earnings for short-term rentals in the US set new records in 2021, increasing by about 35% since the beginning of the pandemic.
Short-term rental developments are expected to take over the housing market by 2022 across Florida. The city of Miami is the most requested within this new context.
2 – Branded Condos – Trend for 2022
The so-called “Branded Condos”, that is, condominiums associated with large brands, is another trend that tends to strengthen in 2022.
This enterprise format is nothing new. The city of Miami already offers several options in luxury condominiums. The island of Sunny Isles Beach is famous for being home to a few! The most talked about and revolutionized global real estate market is the Porsche Design Tower, a 51-story, oceanfront luxury residential tower built in partnership with the German brand Porsche Design. The main feature of the Porsche Tower is that it offers a car lift that allows the owner to park inside the apartment.
Following the Porsche trend, the same construction company announced the launch of Bentley Residences, also in Sunny Isles Beach, in association with the British car brand Bentley Motors. The new development will also offer a car lift for its residents.
Another development that deserves to be highlighted is the Aston Martin Tower, in Brickell. Several others were launched or delivered in 2021, such as Baccarat Residences, Residences by Armani Casa, Waldorf Astoria Tower, among others.
International investors and buyers see a series of advantages in branded-condos, from exclusivity to security in the purchase, as a world-renowned brand will exert all its influence on the development to maintain the standard at a high level.
3 – Coworking and other shared environments
The “sharing” trend, which was practically abandoned during periods of confinement, is now back in the “new-normal”. Builders have realized that, after years of isolation, people want more than ever a little social interaction, albeit with security. In this context, new developments are providing coworking spaces and other shared amenities such as: wine rooms, karaoke bars, outdoor fire pits, among others.
4 – New communities and mixed-use ventures
Some communities are also noteworthy in this new context, such as fast-growing neighborhoods and mixed-use developments that are true mini-cities. The most notorious among the large mixed-use developments in Miami is the Miami Worldcenter. Now Miami will also receive the Magic City Innovation District, with investments of more than $1 billion.
One of the most unique aspects of the Magic City Innovation District – Little Haiti® is how it was designed to be a community planned with the future in mind. Rather than simply creating a single new property, the district outlines a long-term growth plan across multiple verticals. This not only attracts new interest from local residents, but also from national and global companies, cultural icons, start-ups and entrepreneurs, and others who will soon become leaders in their industries.
Another community that has been attracting residents and tourists is the Midtown area of Miami, an enclave between Wynwood and the Design District. In addition to being a region that invites for walks and outdoor socializing, it also offers great restaurants, shops, cafes, among other establishments and entertainment options.
The Brickell neighborhood remains among the most beloved for those looking to enjoy Miami’s vibrant urban life. Edgewater, right next door, is also gaining prominence for being a quieter, more residential community, without the hustle and bustle of Brickell, but minutes from Downtown.
About AMG International Realty
AMG International Realty is a global real estate company specialized in Florida and focused on the Brazilian public. If you want to know more about trends in Florida and real estate opportunities in the region, get in touch now and chat with me on WhatsApp: +1 305 318 6968 (Heloisa Arazi).