Mortgage rates mostly dropped this week in Miami. Meanwhile, luxury home prices in Miami Beach are outpacing all other luxury markets in the nation, The Real Deal reported.
According to research center Redfin, Miami Beach had a 66 percent increase in luxury home sales, with an average cost of $8.3 million per sale. Luxury homes are defined as the top 5 percent of the market's price bracket. But Miami Beach saw significant growth in all areas, with the lower 95 percent having a growth of 25 percent. The report noted that foreign buyers are the primary force behind this growth.
The second- and third-place cities, Los Angeles and San Francisco, didn't come close to the same increase in sales. Los Angeles had an average sale price of $4.8 million, while San Francisco's was $4.66 million. Miami Beach's growth was three times more than these cities combined, The Real Deal noted.
The benchmark 30-year fixed-rate mortgage in Miami slumped to 3.84 percent from 3.98 percent, according to the Bankrate.com national survey of large lenders. The mortgages in this week's survey had an average of 0.14 discount and origination points. Nationally, the 30-year fixed-rate mortgage was 3.9 percent.
The benchmark 30-year jumbo mortgage, for loans of $417,000 and up, rose to 4.08 percent from 4.04 percent. The benchmark 15-year fixed-rate mortgage fell to 3.09 percent from 3.18 percent. The benchmark 5/1 adjustable-rate mortgage sunk to 3.33 percent from 3.5 percent.
Weekly mortgage survey
|Results from Bankrate's Feb. 25 survey of mortgage lenders. Monthly payments are for a $165,000 loan. The jumbo rate is for the minimum jumbo loan amount of $417,000 in Miami.|
|30-year fixed||15-year fixed||5-year ARM||30-year jumbo|
|This week's rate:||3.84%||3.09%||3.33%||4.08%|
|Change from last week:||-0.14||-0.09||-0.17||+0.04|
|Change from last week:||-$13.12||-$7.16||-$15.39||+$9.68|