Ft Lauderdale Real Estate News 5/19/2020
Ft. Lauderdale Home Values Rise 19% in 2020
Florida Realtors 2020 Year-End Statistics
Home values in Fort Lauderdale rose 19% in 2020.
To be precise: the Median Price of a Single Family Home in Fort Lauderdale, Florida increased to $500,000, which represents a rise of 19.0% from the previous year, according to statistics compiled and released by the Florida Association of Realtors.
What makes statistics reported by the Florida Realtors particularly valid versus other market reports: they are compiled from numbers generated through the MLS of local realtor associations across the state.
Other municipalities in Broward also reported significant increases in the Median Price of Single Family Homes. Not surprisingly, most of these were more upscale cities along the Atlantic coast: Deerfield Beach up 19.7% on 513 Closed Sales; Pompano Beach up 17.0% on 733 Closed Sales; Lauderdale-by-the Sea up 19.2% after 65 Closed Sales. Even Dania Beach showed a rise in the Median Home Price of 19.7% on 187 Closed Sales.
Now it doesn't take a Rocket Scientist to figure out something's going on when Single Family Homes in Dania Beach increase almost 20% in a single annum.
Aside from the rise in values, these stats seem to indicate home buyers paying a premium for proximity to the beach. Upscale communities in the western reaches of Broward County such as Weston and Parkland reported moderate gains of only 4% and 6.6% respectively (based on 826 and 695 Closed Sales. Other inland bedrooms communities report similar single digit increases: Coral Springs 8.5% on a significant sampling of 1,286 Closed Sales; Pembroke Pines 7.3% on 1,313 Closed Sales.
By the way, in case you're wondering - the 19% increase in Fort Lauderdale homes was based on a rather sizable sampling of 1,793 Closed Sales.
We also see a couple of interesting anomalies in these numbers.
For instance, the Median Price for a Single Family Home in the "city" of Lazy Lake rose an eye-popping 153%. For those who are not familiar with Lazy Lake it is a village of 13 Single Family Homes built around a little lake off North Andrews Avenue. The smallest incorporated city in Broward County, it has one street and a population of 20-some people. This meteoric rise in home values is based upon ONE Closed Sale of $1,080,000.
To the opposite extreme we find Hillsboro Beach, undoubtedly the wealthiest municipality in the County, a row of impressive beachfront mansions stretching north from the Hillsboro Inlet. Based on 7 Closed Sales in 2020 the Median Price increased 25% to $12,500,000. It is all interesting to note these numbers represent a cash purchase ratio of 85%. In other words - 6 out of the 7 Buyers paid cash. Want to have some more fun, figure out the debt service the one Buyer who financed might be paying. On a $10 Million mortgage, even at 3.0%, the interest could total $25,000 a month.
Another anomaly is Southwest Ranches, a community comprised of predominantly multi-acre parcels where residents keeps horses and animals. The only western municipality to show a significant increase, Median Price rose 24.1% to $862,500 based upon 120 Closed Sales.
Where Do I Invest?
Some of the more mercenary of our readers (a.k.a. real estate investors) might be wondering, as you go through these numbers - where's the best place to invest? To me these stats indicate transitory neighborhoods just inland from the coast might offer the best bang for your buck. I never though I'd say these words, but take a look at Oakland Park. From its eastern-most border along Federal Highway in North Fort Lauderdale, stretching west through neighborhoods which are up on their way up, Median Sale Price in Oakland Park increased 13.3% to a relatively reasonable $340,000 on a sampling of 463 Closed Sales.
Condominiums & Townhomes
In Condominiums and Townhomes the statistics tell a different story. This market had been languishing for some years before the influx of Buyers from other states: tax refugees from California, people from the Northeast who came to realize the importance of outdoor living through the Covid-19 pandemic.
Median Price in Fort Lauderdale increased to $335,000, a healthy rise of 11.7% on a substantial sampling of 1,933 Closed Sales. The coastal town of Lauderdale-by-the-Sea also reported a significant rise of 15% to a Median Price of $390,000 on 214 Closed Sales.
Still, in Condos and Townhomes, many municipalities in the western reaches of Broward County still reported healthy increases.
Weston: Median Price $268,500, up 9.6% on 346 Closed Sales.
Hollywood: up 13.9% to $205,000 on 1,061 Closed Sales.
Coral Springs: Median Price $159,000, a rise of 9.7% on 586 Closed Sales.
Davie: up 10.3% to $215,00 after 490 Closed Sales.
The most surprising results in the Condominium and Townhome market may be some of the more economical (shall we say) cities through the middle of Broward County.
Lauderdale Lakes up 16.8% to $75,950 on 253 Closed Sales.
North Lauderdale up 19.7% to $191,000 on 207 Closed Sales.
Lauderhill up 16.9% to $95,000, 623 Closed Sales.
Sunrise up 14.0% to $138,000 on 911 Closed Sales.
Tamarac up 13.1% to $155,000, 929 Closed Sales.v
See 2020 Year-End Real Estate Reports
from Florida Association of Realtors
Drill Down Deeper
2020 Median Price Increase by Zip Code
Fort Lauderdale Foreclosure Real Estate Agent