How Miami became the center of America’s housing crisis
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- Опубликовано: 20 сен 2024
- Monthly rents in South Florida this summer are more than 24 percent higher than they were a year ago, data show. Read more: wapo.st/3qJF17m. Subscribe to The Washington Post on RUclips: wapo.st/2QOdcqK
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Even when I lived in Miami in '05, I thought the pricing per average wages earned in the metro area were unrealistic and untenable. I could imagine how bad it is now. Miami simply doesn't have the high-paying jobs to allow the average person there to afford the housing. It's for the most part, a region and state full of low-skilled, minimum-wage earners.
Another reason it's less likely to happen that way is that there is already too much demand waiting to absorb that regardless of how everyone is panicking and calling the crash. Nobody was making this prediction in 2008, at least not the general public, as I indicated below. In the other comment, it was mentioned that the ownership rate peaked in 2004. As of today, we are at the median level, having previously peaked in the second quarter of 2020. It decreased by 3% over 4 years, from 2008 to 2012, going from 68 to 65 in the second quarter of 2020.
Most people are unable to handle a fall since they are accustomed to bull markets, but if you know where to look and how to get around, you can profit handsomely. It depends on your entry and exit strategy.
@Drago250 Any assistance would be greatly appreciated. How did you meet the people with whom you work?
@Dragon Jee I can understand why Kimberly is so busy because she has impressive credentials and a terrific resume. But I still set up a meeting with her.
It's insane how crazy Miami real estate is. And wages are extremely low in comparison. Most working class there have some kind of hustle to make ends meet.
Correct. That's the way it's supposed to work. "Working class" people don't get to live in wealthy neighborhoods. That's the way it has worked since we created cities. It can't work any other way. Suppose you could magically create "affordable" (way under market) homes in any popular place. How many people will you have wanting those units? 100x? 1000x? What have you accomplished? As soon as those units are filled values shoot right back up so all you did was give money to a bunch of people in the form of increased equity. Or you create a law saying those owners can never sell for more they they paid (we actually have at least 1 complex here in the Phoenix area that has that in the HOA rules) which robs the people of their home being an investment. Many countries like Russia and China tried this and it didn't go so well. Why keep up a property if it's going down in value due to inflation.
I've seen it happen to soo many people in Miami in only a year. My one bedroom apartment went from $1600 to $2500.
It isn't just Miami . But most of Florida that is also becoming totally unaffordable for the majority of the Middle Class . Soon , Florida will not only be overpopulated like California . But it will cost as much to live there .
Overpopulated = popular. People who can't afford these popular places makeup all kinds of strange twisted thinking to rationalize why they aren't keeping up. The "middle class" is not some kind of noble society deserving of special treatment. That's a line of crap fed to them because they love hearing it. "Middle class" means you don't earn enough, or spend too much, to be able to out bid people earning more to live in the most popular area. We're creating more people and more wealthy people and we're not creating more land in these few tiny little areas where most of the planet wants to live. Yes of course Palm Beach is spreading out to the rest of the state. Middle class are not entitled. And don't worry about the wealthy not have fire fighters, police, teachers, hospitals. Wealthy areas have never had a problem finding worker bees because they have the resources.
California isn’t overpopulated by a long shot, it’s a very big state.
California ain't overpopulated. As far as cost of living, Miami and South florida in general already have LA and NYC rental prices, but much lower wages than those cities. It's no longer affordable to live in Miami.
*Isn’t this all going to be underwater in 20 years?*
Maybe that’s why they are doubling it now, to pay the cost for the future when it’s underwater… Just a thought. Still seems very high… I could never be a landlord, I couldn’t charge people that ridiculous amount of money. It would’ve feel right.😕
That's what they have been saying for decades now lamo
@@itsElian That’s bc it’s gonna f***ing happen
Of course not. Almost a third of the Netherlands is below sea level and has for as long as the Netherlands has existed. Holding back the sea is not complicated or particularly expensive compared to the real estate it protects. Sea level will increase very slowly giving plenty of time to build walls. Beaches will however go away in the protected areas. That may affect values some, but I doubt much.
I will stay here in Ohio! Y’all can keep your hurricanes, humidity, critters, gators and high cost of living!
Thank you
The gators 🐊 are much better company than a hell of a lot of the people lol…
Florida has been a pile of mirages and scams from its inception and is infested with awful phony people who worship nothing but money and who treat their vulnerable workers and other struggling community members like garbage.
Arizona seems to be trying to become the desert version of Florida with its MAGA crowd except eventually Florida will be an ugly sprawling crass-condo flooded Atlantis run by more creepy shyster Republicans while AZ will be running out of water more desperately and probably have their most corrupt politicians and businessmen have to pull some fast ones to acquire significant water resources at some point.
And AZ doesn’t (yet?) have the level of unhinged creepy criminality and societal rot that Florida is legendary for. That sort of Petri dish of foul dysfunction and moral decay takes years and epic societal failings to incubate.
Tornados are OK though.
Ohio at least has better jails.
Rents are outta control
For you, But apparently not for the people eagerly biding up rents so they can move in. In a supply and demand market current rents match current demand. Rent would be too high if there were vastly higher vacancy rates. Learned that in Economics 101. Maybe that's no longer taught?
its getting so bad down here literally ive never seen it this bad here like you honestly cant live in a 1/1 without another person or two other people smfh its crazyyyyy
It’s the next California.
Fact!!!!! An absolute FACT!
more people moving to Florida more expensive it will get
I wish Florida well... as sea levels rise and storms grow ever more powerful.
Exactly. People and companies are flocking in a city that will be under water in a few years. Talk about common sense...
Why isn't she speaking English?
No need to invest here .. it shows too ..people don’t invest in Miami Beach unless it is a party event
@@lemfarba4827 it's miami dawg, if you don't like it don't move here. period.
@@Notpublic4719 i hope your dumb a** drown in the Gulf of Mexico when the state of Florida get sink 😄
Don’t worry, as soon as De Santis is done with his anti woke crusade I’m sure he’ll tackle this 🙄
😂😂😂😂😂
we are not thrilled to have the new folks. they can leave. all they're doing is ruining miami. we need a hurricane.
A big one!
Lol they still here 😭
Lol
Ah, there’s that Southern hospitality that is just one factor for why sane people avoid gaudy, crass, and dysfunctional ol’ Florida where money and appearance are everything… It should be called the Fool’s Gold state…
@@x77punk77x Florida is not "the south" maybe northern Florida but once you pass Orlando throw that bullshit out the window. We're here for money. Take that moralistic nonsense elsewhere lol
...And the southern part of Florida isn't even the united states
I'm a disabled seventy years young who's been walking with the aid of a walker since my brain surgery two & a half years ago...What are my chances of affordable housing in South Florida?...Slim and none...I cannot believe that after requesting assistance to both epilepsy branches(One in Miami-Dade County(2)In Broward County where I reside with my wife)...Why then would they request copies of my legal documents?...Waste of time & money...I'm looking forward to another state perhaps we can solve our unbearable high cost monthly rent.
Florida is gonna be just like California soon everything is gonna be expensive
You might be surprised to learn most of CA is rather inexpensive. What you see on social media is maybe 1% of CA. Same with FL.
CA at least has high-paying jobs. I feel that FL is less sustainable than CA. It's just a house of cards ready to collapse.
@@MrWaterbugdesign all the major cities in California, and even smaller cities like Fresno, are really expensive. I've seen you posting on every comment, like you're the comment police haha. Housing affordability in every major city in the US is getting worse and worse, and the bubble is going to pop. When people can't afford housing, or basic life necessities, that's when riots start and/or wars break out. Add in all the immigrants being let in from South of the border, I'm very curious to see how this plays out
I said this years ago. Florida is the California of the east coast. This is why I left and moved to Atlanta. Better paying jobs in Atlanta and definitely more affordable housing
@@keyballa and one of the poorest state in America as well….California the richest state in America 😃
Completely imbalanced.
Who exactly do they think is going to work in all the sectors and for the companies she claims are rushing to move to hurricane-ridden, climate doomed Miami 🤣
I looked at an open posting in Miami the other day, for a role I’m sure will not pay six figures. In office, no hybrid or remote option. How?
Exactly it is too high priced people say u lov it here why u didn’t move here before … uh like Money that is th only reason money .. u cannot afford to live here on less than six figure no way
I luv in Miami now fr Colorado
I live on Miami Beach
Wealthy areas have never had a problem getting all the help they wanted. It has always been one of the most silly arguments ever. Popular to say and hear like somehow wealthy people are going to somehow panic and start doing something different. The opposite happens. As values increase so does the service sector in the area. Instead of McDonalds you get high end restaurants with the highest skilled staff. You get the best hospitals built, the best schools, the best fire departments. It's why wealthy people want to live in these tiny areas with other wealthy people. The improved infrastructure flows in too pushing out the crap.
The irony of working as a real estate agent, in the hottest market, and renting.
Really dumb lady 😂
I bet you she sent all her money back to her country
Miami has rough jails. It’s not a good place to get locked up. Also it’s overcrowded and has traffic issues.
If there is was a reasonable personal income tax in Florida, the state might be in the financial position to help do something.
You don't need money to solve the issue. The problem is entirely due to the fact that the supply of apartments/homes is lower than the demand. How you fix that is by getting rid of restrictions that cause the low supply. They don't have this problem in cities like Tokyo. You can rent an apartment in Tokyo for like $600 - 800 per month despite being the most populated city in the world.
@@hashiramasenju6058 thank Ron Desantis for this! He wont fix the problem bc his friends are the ones making all that money!
It's the tech hub influx of companies coupled with the hedge fund industry. Same thing happened in San Fransisco. Too much demand and no enough supply. Equals a price bidding frenzie.
So now Florida gets to tackle the same issues the West Coast have been fighting for 40 years. I guess we get to see how they do or do they get stuck with the same NIMBY attitude that is preventing solutions in California.
Very sad.
2:33 People like this say tech and finance companies are coming to Miami, but they really aren't. Not in any meaningful way. It's all hype.
It's unsustainable. I see a mortgage underwater scenarios or price reduction coming soon. Unless they have kept supply very low on purpose.
'They"???? Not "they" again.
Florida a lot of fake instagram rich
Hot
Traffic
Expensive
Services are slow
Too Crowded
Flooding
The nigh life is over rated and some places gettoo
Good for vacation few days
Pinecrest is the best place to live in Miami! All rich people are constructing new homes there
Lol
Miami Sound Machine was huge though.
Be careful, or the rhythm is gonna get you, tonight.
Its a vacation rental. Thats not really rental crisis material.
I’m a Miami native trying to move back there after college. It’s not just the vacation rentals. Anything that isn’t ridiculously far out on the outskirts of the city, where it takes 45 minutes or longer to get anywhere of note, or ridiculously crappy a la new york studio apartments, is unaffordable to anyone not making 6 figures, and even some that do.
You’re right that they showed the wrong work, but they did get the right answer.
Miami is not part of the United States of America
FLorida can't sustain without Miami $$$$.
Bigot alert
That's what rebels felt pre civil war, but what flag flies high in Miami...last time I checked it was U.S.A.
Bring your robots
"Salaries have not kept pace." Nonsense. The only reason values shoot up is because buyers are standing in line to bid up values. Obviously salaries have kept up...and surpassed home values. If people couldn't afford the prices the units wouldn't be sold. If you want to complain then complain about people earning more and more money. It's the wealth gap in action. We're making more people who are more wealthy who can afford these super popular locations. It's all the people who settled for average pay jobs who get out bid. Yes of course a real estate agent doing just OK isn't going to be able to afford a beautiful home on the most popular land in the world. Can't afford a place on the French Riviera.
There are thousands of homes on lots in the US that a person can buy for about $1k and add $15k of work and they're livable. The reason they're that cheap is because no one wants to live there.
In the US land/homes are about 1/2 the cost of similar property per sq foot in developed countries (and many underdeveloped too). While US median income is about 2x as much. Plus the US has a 30 year fixed mortgage no other country has. They have to deal with variable rate loans, balloon payments, etc... And still homeownership in the US is one of the lowest in the developed world.
Americans can afford homes...but not in addition to a couple $50k new cars, $400/mo for cable/internet/phone, couple vacations a year, $6 coffees, eating out several times a week, $100/mo gyms, and a river of Amazon boxes being carried to their home. And not too mention $30-150k student loan for Art History.
This mass delusion and lying to each other will solve nothing.
A lot of the appreication has to do with investments from investment firms and wealthy foreign buyers. Albeit, there is a wealthy and even uber wealthy class in metro Miami, the vast majority of people are low-skilled, working-class people. By-and-large, the metro area is a region full of minimum wagers- the epitome of the haves and have-nots scenario. I used to live in Miami- I know firsthand.
“Some home prices have nearly doubled”. Uh housing in idaho has tripled in price. Almost doubled made me laugh.
thats called math idahos prices are low af
people in miami earn the same as people in idaho- the bare minimum- and are seeing prices comparable to that of living in NY or Cali. it's completely unaffordable.
@@Notpublic4719 miami is higher than California (LA) Now
Like I moved here fr Colorado all bills included just as nice about th same size 1000 mo up to 3000mo all bills paid as well now I Do have some perks for th upgrade I mean it is a beach front condo on Miami Beach but still 1500 ? Really ? No way u will Not find it not on th beach anyways with th perks
With those typing, spelling, grammar skills you're still able to earn a living? What an amazing country we have.
@@MrWaterbugdesign funny coming from you, seeing as how your comment was written so poorly.
MOVE WAY NORTH 🇺🇸
Way north is a political nightmare, yuck
Priority should be given to English-speaking Americans.
@@brendaizquierdo5695 😎
Why isn't she speaking English?
Because Miami is North American Cuba.
@@zakuma22 So you're saying Miami is a sh!thole that is collapsing?
@@lemfarba4827 Not a shithole, neither collapsing. More like going underwater slowly...
Most people in Miami speak spanish
@@claw1004 Then they should be deported.
Thanks Biden
Yes, because before now housing was super affordable for all🙄
@@enneirda07 That's right. South Florida always had a rent affordability problem. This is nothing new, just worse.
Thank the Republicans like governor DeSantis that allow it to happen in Florida and in other states. We shouldnt thank them , we shouldn't even vote for them.
@@enneirda07 blame all of the extra people that have moved here in droves like never before! While our governor and everyone else tells them to move to Florida! Supply and demand!
TIL that Biden created zoning laws in Miami
Why is she speaking Spanish in Miami we speak English