Zillow reports that all-cash home purchases account for over 50% of the purchases in Miami, Florida. Cleveland, the home of reigning NBA champions (Cavaliers) and almost World Series champions (Indians) is at 45% all-cash. Compare that with 20% for San Francisco.
Of course, a good reason why all-cash is much lower on the West Coast is … the West Coast is far more expensive than Florida and The Midwest.
On a related note, Washington DC has the most restrictive land use regulations in the nation (and very expensive rents) while Appleton Wisconsin leads in terms of rental growth over the period 2011-2016. Followed by Vancouver, Denver and Bend Oregon.
The slow growing global economy has sent “hot money” flooding into the USA, seeking higher yields. First, it was the West Coast seeing the massive infusion of foreign capital, now we are seeing relatively inexpensive Florida seeing more all-cash buyers. Particularly Miami.
After all, who can resist a bathtub in Miami like this one?
Wall Street Examiner Disclosure: Lee Adler, The Wall Street Examiner reposts third party content with the permission of the publisher. The opinions expressed in these reposts are not those of the Wall Street Examiner or Lee Adler, unless authored by me, under my byline. I curate posts here on the basis of whether they represent an interesting and logical point of view, that may or may not agree with my own views. Some of the content includes the original publisher's promotional messages. No endorsement of such content is either expressed or implied by posting the content. All items published here are matters of information and opinion, and are neither intended as, nor should you construe it as, individual investment advice. Do your own due diligence when considering the offerings of information providers, or considering any investment.