Miami Beach is among the worst real estate markets in the U.S., according to a new study by WalletHub — within the state itself, markets in South Florida populate the lower ranks.
In the Aug. 19 report, the personal finance company evaluated 300 cities of "varying sizes" across "two key dimensions" — real estate market, along with affordability and economic environment. WalletHub "evaluated those dimensions using 17 relevant metrics" in order to "determine the best local real estate markets."
The full list of metrics, which were assigned various weights, can be found at the bottom of the report. They include characteristics such as home value forecast, median days on the market, share of seriously underwater mortgages and ratio of rent price to sale
price. Each metric was "graded on a 100-point scale, with a score of 100 representing the healthiest housing market."
Among the 300 cities surveyed, Miami Beach ranked as number 294, with a total score of 39.33. The city had a real-estate market rank of 293 and an affordability and economic environment rank of 228.
In Florida alone, Miami Beach ranks at the bottom, followed by Hollywood, which ranked 285th overall. The latter city received a total score of 43.13, with a real-estate market rank of 283 and an affordability and economic environment rank of 170.
Other South Florida cities among the bottom two hundred included West Palm Beach, which ranked at 241 with a total score of 48.75, Sunrise, which ranked at 244 with a total score of 48.41 and Pompano Beach, which ranked at 271 with a total score of 45.74.
The Miami market itself, however, ranked among the top 40 nationally. At number 38, the city had a total score of 60.28, a real-estate market rank of 30 and an affordability and economic environment rank of 167. It was also the most highly ranked Florida market.
"Current home prices are extremely important, but there’s much more that you need to look at when determining the health of a city’s real estate market," said Chip Lupo, an analyst for WalletHub. "Factors like the cost of living, the potential for the value of homes to increase, the availability of recently-built homes and the quality of the city’s job market are all important to consider in conjunction with asking prices and interest rates."
US cities with the best real estate markets, according to WalletHub
- Frisco, TX
- McKinney, TX
- Murfreesboro, TN
- Durham, NC
- Denton, TX
- Cary, NC
- Madison, WI
- Allen, TX
- Charlotte, NC
- Irvine, CA
Cities with the best real estate markets in Florida, according to WalletHub
38. Miami, FL
53. Port St. Lucie. FL
57. Gainseville, FL
65. Hialeah, FL
73. Orlando, FL
88. Tampa, FL
96. Miami Gardens, FL
116. St. Petersburg, FL
131. Palm Bay, FL
141. Davie, FL
US cities with the worst real estate markets, according to WalletHub
300. New Orleans
299. Baltimore
298. Shreveport, LA
297. Baton Rouge, LA
296. Jackson, MS
295. St. Louis, MO
294. Miami Beach, FL
293. Philadelphia
292. Palmdale, CA
291. Lancaster, CA
Cities with the worst real estate markets in Florida, according to WalletHub
294. Miami Beach, FL
285. Hollywood, FL
278. Cape Coral, FL
271. Pompano Beach, FL
262. Coral Springs, FL
255. Clearwater, FL
253. Fort Lauderdale, FL
244. Sunrise, FL
241. West Palm Beach, FL
210. Plantation, FL
Sarah Perkel is a South Florida Connect Reporter for the USA TODAY Network's Florida Connect team. You can get all of Florida’s best content directly in your inbox each weekday day by signing up for the free newsletter, Florida TODAY.
This article originally appeared on USA TODAY: 8 South Florida cities among 'worst' real estate markets in state, says new report
