Rent or Buy in Miami?

Miami's housing market has one of the most unusual rent vs. buy dynamics of any major American city. The metro has absorbed a massive wave of in-migration since 2020 — from New York, California, and Latin America — that pushed home prices to levels that surprised even longtime local observers. The median home price in Miami-Dade County now sits above $600,000, and in neighborhoods like Brickell, Coconut Grove, or Coral Gables, $800,000–$1.2 million is common for a modest single-family home.

Florida has no state income tax, which is a genuine draw for high earners relocating from New York or California. Property taxes in Miami-Dade run around 1.0–1.2% of assessed value, and the state's homestead exemption reduces the taxable value of a primary residence by $50,000 — a meaningful benefit for permanent residents. On a $650,000 home with the homestead exemption applied, effective annual property taxes run roughly $6,000–$7,200.

The factor that complicates Miami's math more than any other is insurance. South Florida's exposure to hurricanes and flooding has caused homeowners insurance premiums to surge dramatically. A home that cost $3,000 per year to insure in 2018 may now cost $8,000–$15,000 per year, depending on location, age, and construction type. For condos, rising HOA fees driven by Florida's new building inspection requirements have added another layer of cost. These factors can add $1,000–$1,500 per month to the true cost of ownership that a simple mortgage calculator won't show.

For buyers committed to Miami long-term, the appreciation story remains compelling. The calculator below uses current Miami median prices and Florida-specific insurance and tax assumptions to give you a complete picture.