Miami-Dade Multifamily Market Report

Income discrepancy underpins demand for lower-tier housing. Robust rent growth since the onset of the pandemic has elevated Miami’s average asking rent above $2,500 per month, ranking among the top 10 most expensive markets in the nation. This rapid rise has created concerns over affordability, as the local median household income was at least 15 percent below the national average in June and the second lowest among all major U.S. metros. Although a strong influx of businesses have created diversity in the economy in recent years, roughly 36 percent of the labor force remains in leisure and hospitality, as well as the trade, transportation and utilities sectors — industries that historically garner relatively lower wages. As a result, there is vigorous demand for Class C housing metrowide. Vacancy in the segment was at 1.6 percent in the second quarter, roughly 360 basis points below any other property tier.