Miami’s Luxurious Living: 5 Things You Should Know
Miami, Florida, is one of those places that you cannot help but fall in love with. With its vast white sand beaches, great cuisine and arts scene, intriguing art culture, and electrifying nightlife, it is unsurprising why athletes and celebrities choose to live in Miami. This appeal makes the city one of the most highly-sought after destinations for luxury investors and homebuyers. However, investing in luxury estate in Miami is much different than in other parts of the country. Before you start exploring the luxury housing market of Miami, here are some things you should know.
Property Taxes
One of the primary reasons that most people relocate to Miami from other states is that the net taxes paid in Miami are often much lower than those paid in the person’s current location. Having said that, property taxes for luxury homes for sale Miami are frequently more than what out-of-towners moving to Miami expect.
Property taxes in many regions of the country are around half what they are in Miami. The annual taxes on a Miami home are often roughly 2% of the property’s value after it is sold and evaluated in about a year. This figure can sometimes be slightly more or less.
Homeowner’s Insurance
The cost of homeowner’s insurance in Miami is significantly greater than in many other locations nationwide. Statistics show that Florida has the third most costly insurance in the US.
However, this ranking might be misleading as most of Florida’s neighborhoods have far less costly real estate than Miami. Besides, homes in Miami are at greater risk of hurricanes. Another factor that makes insurance this costly is the high risk of insurance fraud in Florida. So, it is best to obtain a quote for your homeowner’s insurance before buying a home.
Homeowners Association (HOA) Fees
If you buy a home in Miami, you should know what maintenance fee to expect. The HOA monthly maintenance charges are generally higher than in other parts of the nation. In some other areas in the US, property taxes are part of the HOA fees, whereas in Miami, they are not.
Most properties in Miami include basic cable, Wi-Fi, water, sewer maintenance of public spaces, building security, parking, pool, and other amenities in their HOA fees. However, what makes HOA charges so high in Miami is that the building’s exterior insurance is part of it.
Escrow Deposit Variations
When an offer is accepted on a home in Miami, the buyer has 3 days from the moment the offer is accepted to wire the initial escrow deposit payment. Like many other items in the contract, it is negotiable.
The size of the escrow deposit and whether one or multiple escrow deposits are required are also negotiable items on the contract. Numerous Miami real estate agents have little expertise in doing so. So, it is important to carefully sort out your real estate agent and find one who understands the escrow deposit variations.
The Dynamics of the Local Market
The dynamics of the Miami luxury real estate market are another key factor before buying a home. For the most part, South Florida is a hyper-local market, which means that numerous things determine if a buyer or seller has an edge.
These factors include property type, price bands, home resales, neighborhood, and more. Do not simply browse the internet for listings and information. Find an agent with experience in the local market to help you understand these dynamics.
Find Luxury Homes in Miami with Aston Rose
Are you thinking about buying luxury real estate in Miami? The team of real estate agents at Aston Rose is ready to help. Your agent will walk you through the process, guaranteeing a smooth and satisfying outcome. Contact Aston Rose today to learn more about their services and how they can assist you in achieving your real estate goals.
