Martine de Bono’s Post

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Chief Economist at 35Miami

#LongMiami — Miami single-family prices have risen 245.8% from June 2012 to June 2024, from $190,000 to $657,000. This return data is calculated based on the face value of the property not on the total initial funding and carrying costs of the property vs the increased face value over the prescribed timeline. And, also does not factor in principal debt repayments and for investors depreciation. A residential dwelling of any type is a depreciating liability, however, the land that the dwelling resides upon is a formidable asset class. Hard assets are identified as having a limited and sometimes fixed amount of supply. Pricing the asset is as such based on supply and demand. Real estate over time has proven to be a weigh scale, one that for over 2,000 years has consistently appreciated in value.

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