Why Miami?
If you have read my previous posts this week then you probably already understand what my investment area is. "So why Miami" is one of the first questions new investors ask me (and also curious aunts at family events ?).
Choosing an investment area is for three main reasons: accidental (something unplanned that actually leads you there), market research (very conscious choice and in-depth study of the area) and personal preference (each of us connects to something else).
In this post I will try to list the reasons that led me to the choice I made, a choice that incorporates each of these elements:
1️⃣ Coincidence: At the beginning of my career in real estate I worked in the northern United States, in the state of Ohio (Cleveland and Columbus). After a period of working there, I met in Israel by chance a childhood friend who moved to the US at a young age and now works as a real estate broker in Miami. To get to it for a few days to be impressed by the different options. I took advantage of one of my trips to Cleveland and at the end I flew to it for four intense days. Of course during this visit I met more and more people from the field My business and I began to study the area in depth.
2️⃣ Market Research (Of course there are lots of parameters but you only have a few short examples):
Tourism: Miami is located in the center of the largest metropolitan area in the southern United States (with over 6 million people), has tropical weather and its wide and beautiful coastline. Due to all this it is considered a summer city and ultimate freedom and serves as a favorite tourist destination. The many tourists who visit the city need to stay somewhere… If in the past the leading option was hotels, today there is an increase in the popularity of tourism in the air-bnb model and Miami has many options for investing in this type of property, especially in coastal areas.
Residence: The amount of population in Miami is constantly increasing due to internal migration of Americans and also immigrants who come mainly from Central and South American countries. A figure of positive migration to a particular area is extremely significant to the real estate sector because among other things it ensures that the demand for housing will be on an upward trend all the time.
Laws and Taxation: Initially, it was the tax reform that pushed high-income investors to invest in Miami (which is known for relatively low tax levels for real estate investors there). Now, it is multi-family investors who are moving to investing in Miami, and for another reason: In June this year New York State dramatically restricted the way homeowners could increase rents on their apartments.These investors are looking for alternative areas and many of them are coming to Miami, where they are facing a strong rental market and low supply, which is raising prices.
3️⃣ Personal preference: This may sound very simplistic, but for me, before anything else - it's the most important thing. I know to say about myself that if I do not connect to something on a personal level (in almost every field) then I will not be able to enjoy it. And if I do not enjoy then I probably will not succeed.
To compare with the personal experience I had in Ohio, in Miami, I feel completely different, of course, making my entire trip there a tremendous and fun experience, far beyond the business side.
To me this is a super important point that should not be underestimated at all. In the end, we also came to enjoy some. What, not like that?
come to visit
Straighten Yaron as an investor and work with real estate investors in Florida This is indeed the best US investment country ???
Shay Rachmani
What about the disadvantages?
Beautiful post. Agree with every word
charming!