Miami Condo Market and Lifestyle Updates
South Florida Markets Will Hurt from Changing Trends and Higher Interest Rates

South Florida Markets Will Hurt from Changing Trends and Higher Interest Rates

by Sep Niakan | October 22, 2014

 

Ever since the recession, South Florida’s commercial real estate has been doing very well. However, sources say that the great recovery might be hindered by higher interest rates, market conditions, and income issues.

“Going forward, we have to think about the interest rates and the significant impact on debt service and value,” said Brian Bailey, senior financial policy analyst for the Supervision and Regulation Division of the Federal Reserve Bank of Atlanta.

There will be $7 billion in loans that will be due for South Florida between 2015 and 2017, according to Joseph McBride, a real estate analyst from New York. If interest rates rise, like McBride suggests they will, property owners will not be able to refinance their loans.

Bailey tells Miami real estate agents to be aware of the changing trends in the commercial market. As retail stores are moving away from physical stores to online stores, the demand for retail space in strip malls will drop, but the demand for storage and distribution warehouses will rise.

 

Source: therealdeal.com

Photo credit: Palm Beach View wikipedia.orgSign foreclosuredeals.com

Recent posts

Lifestyle

Where to Find the Best Latin and Caribbean Food in Miami?

by Sep Niakan | February 15, 2017

Miami has always been a melting pot of cultures. From the Bahamians that came to work at the Peacock Inn in the 1870s to influx of Cuban immigrants in the 1960s. Miami didn’t just welcome people with open arms, but also embraced their...

Real Estate News

2017 is Going to Be a Renter’s Market for Downtown Miami Condos and Apartments

by Sep Niakan | February 12, 2017

If you thought living in Downtown Miami was a distant dream, think again. 2017 comes bearing great news for those who’ve always wanted to live close to the urban core but couldn’t afford it. You will now be able to rent a Downtown Miami...

Real Estate News

Cité Condo in Miami Edgewater is Now Fannie Mae Approved, 5% Down Payments Are Back

by Sep Niakan | February 12, 2017

If you’ve been eyeing property in Edgewater, I have great news for you. With Edgewater’s Cité condos getting Fannie Mae approved, you could now get in with a lower down payment. Or better still, have reduced monthly payments due...

Real Estate News

Frost Museum of Science Likely Ready to Debut in Downtown Miami this Spring

by Sep Niakan | February 05, 2017

It looks like the Patricia and Phillip Frost Museum of Science has finally got the “spring” back in its step. A quick Google search reveals that the facility aims to open ‘early 2017’, which means it could be ready just in...