If you’re looking to buy a new home in South Florida’s tri-county area, it helps to have a pocket full of cash. From Greater Miami to the Palm Beaches, mortgages are out…and cash is king when it comes to residential real estate transactions.
California-based RealtyTrac reports that, in South Florida, nearly six out of every 10 home buyers paid cash for their purchases during the third quarter of the year. The region was led by Miami-Dade County’s 59 percent mortgage-free home sales, the nation’s highest cash sale rate, according to RealtyTrac.
It is in this cash-frenzied market that Turnberry Associates Chairman and CEO Jeffrey Soffer is preparing to launch his ultra-luxury Turnberry Ocean Club in Sunny Isles Beach. Soffer plans to begin accepting reservations soon for Turnberry Ocean Club’s 154 exclusive residences, starting at over $4 million to more than $35 million.
If you believe Turnberry Ocean Club surely is priced outside the cash market, you’d be wrong. Its club-like environment and upscale residences appeal to high-end buyers, including foreign investors, who can afford to pay cash for their homes…or at least for most of the purchase price.
What’s making the cash buyer such a popular choice in South Florida’s real estate market? Well, the certainty of sales that don’t hinge upon mortgage approval certainly appeal to sellers. “You know it’s a done deal,” one real estate agent told the Sun Sentinel newspaper recently.
Add to that foreign investors with cash to spare based on currency exchange rates, and you have an excellent recipe for cash-only sales.