Metro-to-metro variations in home-price growth reached a 13-year high in the spring of 2022, and although variation has decreased since then, some popular metro areas are still seeing very different realities. One such disparity is currently evident if you compare Miami with San Francisco; a difference that recently reached a 30-year high, according to Redfin.
Home prices are down 10.1% year-over-year in San Francisco, but in Miami, prices are up 10.9% to a near-record high, a 21-percentage-point difference between the West coast and the East.
“The stark difference in home-price dynamics between the Bay Area and Miami may be a reflection of a long-term, pandemic-fueled shift in where people choose to live,” said Redfin Deputy Chief Economist Taylor Marr. “The fact that Miami prices are holding up well despite the national pullback in homebuying suggests the relative popularity of Florida is here to stay. Even though some employees are returning to offices at least a few days a week, the pandemic has given many Americans much more freedom on where they choose to live–and a lot of them are choosing places where shelling out $1.5 million for a run-of-the-mill home isn’t the norm.”