The Miami Market is Overrated?

[Alberto Freites]

Hi everyone,

Good afternoon! I wanted to post a question to this forum. 

I'm from Venezuela, living in Miami with my family. For many years, I've been studying and following this community to dive into the world of real estate as an investor. My goal is to purchase my first duplex or triplex in this area in 2024. (Using house hacking strategy)

I would love to receive feedback regarding this region from more experienced investors. Do you guys believe that South Florida is overvalued? Mi

Thank you,

[Branden Rivero]

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

[V.G Jason]

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 Of course you don't think a crash is coming, you're long. And probably getting longer.

I don't think there's a crash coming, but a dose of correction for So Florida for sure. Not primo parts of Miami. Let the assessments, HOI, etc., all sort itself out. 

[Branden Rivero]

Quote from @V.G Jason:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 Of course you don't think a crash is coming, you're long. And probably getting longer.

I don't think there's a crash coming, but a dose of correction for So Florida for sure. Not primo parts of Miami. Let the assessments, HOI, etc., all sort itself out. 

 I am long but I also do fix and flips actively and consistently. Currently have 5 flips and 3 new builds in progress. As far south as homestead to as north as Lauderdale lakes and things are moving still. If you price it right, it moves. What you see staying on the market longer are homes that are not renovated asking top dollar or above 

[Bob Stevens]

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 NOT a big correction coming to S Florida, hm? 100% there is. I see price reductions daily. This 1k a sq ft is unsustainable. The assessments of 25k - 200k per unit in condos cannot be absorbed, people are going to dumb. Deals in FL please if you have on, please post the numbers, I would love to see it. 

All the best 

[Branden Rivero]

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 NOT a big correction coming to S Florida, hm? 100% there is. I see price reductions daily. This 1k a sq ft is unsustainable. The assessments of 25k - 200k per unit in condos cannot be absorbed, people are going to dumb. Deals in FL please if you have on, please post the numbers, I would love to see it. 

All the best 

 Sure 

Just sold last week 15955 sw 304th Ter- bought 300k sold 440 with 12k into it

603 nw 10th st - under contract to sell currently bought at 260 sold as is at 345 without touching it 

Want me to keep on? 

[Bob Stevens]

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 NOT a big correction coming to S Florida, hm? 100% there is. I see price reductions daily. This 1k a sq ft is unsustainable. The assessments of 25k - 200k per unit in condos cannot be absorbed, people are going to dumb. Deals in FL please if you have on, please post the numbers, I would love to see it. 

All the best 

 Sure 

Just sold last week 15955 sw 304th Ter- bought 300k sold 440 with 12k into it

603 nw 10th st - under contract to sell currently bought at 260 sold as is at 345 without touching it 

Want me to keep on? 

 Again, its not going to last, keep crushing it, 

PS can I have a few like this lol

BTW, I want rentals, wealth is built not flipped. Biggest mistake I made was not keeping 50 or so more of the 500 I flipped, cost me millions,

 All the best 

[Branden Rivero]

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 NOT a big correction coming to S Florida, hm? 100% there is. I see price reductions daily. This 1k a sq ft is unsustainable. The assessments of 25k - 200k per unit in condos cannot be absorbed, people are going to dumb. Deals in FL please if you have on, please post the numbers, I would love to see it. 

All the best 

 Sure 

Just sold last week 15955 sw 304th Ter- bought 300k sold 440 with 12k into it

603 nw 10th st - under contract to sell currently bought at 260 sold as is at 345 without touching it 

Want me to keep on? 

 Again, its not going to last, keep crushing it, 

PS can I have a few like this lol

BTW, I want rentals, wealth is built not flipped. Biggest mistake I made was not keeping 50 or so more of the 500 I flipped, cost me millions,

 All the best 

 My last 3 multi families 

2429 nw 81 3/2+ 3/2 purchased at 385 October 

2441 nw 81  3/2+ 3/2 purchased at 400 October 

441 nw 44th 3/2+2/1 purchased at 280 August 

again there’s deals , you just have to look.

[Bob Stevens]

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 NOT a big correction coming to S Florida, hm? 100% there is. I see price reductions daily. This 1k a sq ft is unsustainable. The assessments of 25k - 200k per unit in condos cannot be absorbed, people are going to dumb. Deals in FL please if you have on, please post the numbers, I would love to see it. 

All the best 

 Sure 

Just sold last week 15955 sw 304th Ter- bought 300k sold 440 with 12k into it

603 nw 10th st - under contract to sell currently bought at 260 sold as is at 345 without touching it 

Want me to keep on? 

 Again, its not going to last, keep crushing it, 

PS can I have a few like this lol

BTW, I want rentals, wealth is built not flipped. Biggest mistake I made was not keeping 50 or so more of the 500 I flipped, cost me millions,

 All the best 

 My last 3 multi families 

2429 nw 81 3/2+ 3/2 purchased at 385 October 

2441 nw 81  3/2+ 3/2 purchased at 400 October 

441 nw 44th 3/2+2/1 purchased at 280 August 

again there’s deals , you just have to look.

 I'm curious what is the net cap on the MF. if you are getting 10% then I will crown you as the king LOL. All my rentals are never less then 15 - 20% net based on cash purchase. 

[Branden Rivero]

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Branden Rivero:

Quote from @Bob Stevens:

Quote from @Ghenia Flewellyn:

@Alberto Freites

I live in so FL. Opportunities still exist here. Look to buy off market. I can connect you to a few off market contacts when you're ready if you'd like.

 Really deals in FT Lauderdale. What do you consider a deal ? Post the numbers and the street. 

 Deals are there if you look and market for them. I do not believe theres a crash coming here , who is your source?

you can look up my llc to see what deals we own Prop hunters LLC

 NOT a big correction coming to S Florida, hm? 100% there is. I see price reductions daily. This 1k a sq ft is unsustainable. The assessments of 25k - 200k per unit in condos cannot be absorbed, people are going to dumb. Deals in FL please if you have on, please post the numbers, I would love to see it. 

All the best 

 Sure 

Just sold last week 15955 sw 304th Ter- bought 300k sold 440 with 12k into it

603 nw 10th st - under contract to sell currently bought at 260 sold as is at 345 without touching it 

Want me to keep on? 

 Again, its not going to last, keep crushing it, 

PS can I have a few like this lol

BTW, I want rentals, wealth is built not flipped. Biggest mistake I made was not keeping 50 or so more of the 500 I flipped, cost me millions,

 All the best 

 My last 3 multi families 

2429 nw 81 3/2+ 3/2 purchased at 385 October 

2441 nw 81  3/2+ 3/2 purchased at 400 October 

441 nw 44th 3/2+2/1 purchased at 280 August 

again there’s deals , you just have to look.

 I'm curious what is the net cap on the MF. if you are getting 10% then I will crown you as the king LOL. All my rentals are never less then 15 - 20% net based on cash purchase. 

 yes, it is tough here compared to other markets,  But not impossible. most of the time they don't start out at 10%. Also these deals are not one out of 100 they are the last 3 i have closed on to keep, you can verify on the county site. I attached rough estimate on here, I included rehab on to the sales price 

[Sebastian Giraldo]

People have been saying there is a crash or correction coming to miami for the last 3 years. While the market has gone on a tear. Even on a high interest rate environment  the market has been climbing. THOSE who don't believe in Miami as the metropolis of the US will miss on it. Sadly it is always overvalued for the locals as well.

For context: the same comparable duplex a client purchased for $750k last february 2023 in Lil Havana is now asking $925k. This is according to multiple listings right now. 

People don't realize the amount of wealth that is flowing to Miami. The developments and businesses moving here. The re-vitalization of Flagler st by Moishe Mana, the big bets billionaire Ken Griffin is making on this city, brightline train, the Beckham soccer stadium will be ready for N America World cup 2026, the double decker hwy $840M Signature bridge connecting downtown miami and miami beach and the 30 acre park underneath it. 

[Michael Diossa]

In my view, I don't perceive Miami or South Florida as being overpriced in anticipation of a decline in home values. Keep in mind, the region is immensely sought after, leading to notably low capitalization rates.Positive cash flow from a rental property becomes challenging; however, there remains potential for substantial returns through appreciation.

[Michael Valencia]

All about coming up with a strategy and building relationships with the right people.  I bought a Duplex 20% below fair market value last year with really high interest rate and I’m still cash flowing $800/month with now $230k in equity.  Here it is check it out below and let me know if you have any questions: 

[Anade Davis]

Really good comments here thanks for all the great info. The issue that i see with miami is the money mostly comes from the top earners. The residents are severly underpaid. This is why you see so many people living in 1 house. 

I think thats an opportunity. Everybody in that house should be paying some rent. For example, instead of 1 rent $2000 for a 3 bed 2 bath. If 4 people live in that house. Each person would pay $600 a month or even consider padsplit. That does weekly rentals. I think for a beginner thats how i started in multifamilies literally with weekly rentals. It can get testy at times but its an excellent learning opportunity and you will always have cashflow, weekly

[Branden Rivero]

this convo is a year old, still no crash.

[Branden Rivero]

Quote from @Anade Davis:

Really good comments here thanks for all the great info. The issue that i see with miami is the money mostly comes from the top earners. The residents are severly underpaid. This is why you see so many people living in 1 house. 

I think thats an opportunity. Everybody in that house should be paying some rent. For example, instead of 1 rent $2000 for a 3 bed 2 bath. If 4 people live in that house. Each person would pay $600 a month or even consider padsplit. That does weekly rentals. I think for a beginner thats how i started in multifamilies literally with weekly rentals. It can get testy at times but its an excellent learning opportunity and you will always have cashflow, weekly

South Florida is going through a transition. From having rich residents to now having wealthy residents. I believe once the schools catch up with the influx of wealth South Florida will keep appreciating. Pad split is great but you need to be careful what cities you do it in cause it will bite you if done wrong