‘Tale of two’ Miami housing markets reflects changing priorities, international demand

South Florida’s housing market is navigating a notable shift in mid-2026, characterized by a sharp divergence between a tight, high-end single-family market and a condominium sector adjusting to higher inventory levels.

New HousingWire Data from the Miami-Fort Lauderdale-Pompano Beach metro shows single-family home inventory has tightened considerably, falling 29% year-over-year to 13,319 active listings.

Median list prices have climbed 6.5% to $799,000, while the mean list price has surged to $2.16 million.

That $1.36 million gap between those figures points to a luxury tier that’s increasingly influencing the market landscape.

The trend has been accompanied by more measured pricing strategies among sellers, local experts told HousingWire.  

Only 35.3% of single-family listings took a price cut in the latest weekly data, down from roughly 41% a year ago — indicating fewer homeowners are entering the market with unrealistic expectations.

Months of inventory expanded from 3.5 to 4.5 months, giving buyers slightly more leverage while demand remains concentrated in desirable locations and move-in-ready homes.

George Fraguio — vice president of private lending at Miami-based lender Vaster — described a market driven by two distinct buyer profiles.

“Domestic buyers that are coming from other states, specifically the Northeast and California, are looking for roots in South Florida,” he said. “It’s no longer the post-COVID, ‘Let me try it out and see how it works.’ Now there’s individuals that are really looking to set up a lifestyle and family in South Florida.”

On the other end of the spectrum, Fraguio noted the influence of international buyers seeking stability.

“They’re looking for capital preservation by investing in South Florida and in condos,” he said. “They still look at the condominium market as an easier asset to manage. Now, with the popularity of short-term rental projects that offer the ability to rent them in the short term and have management companies manage them, that’s making it attractive to them.”

Single-family demand remains strong

Alfredo Pujol — chairman of Miami Realtors + RWorld — said single-family homebuyer activity has remained resilient, especially for homes that match current expectations for quality and design.

Competition has created a market where pricing accuracy is becoming increasingly important.

“There are sellers who still have prices from a couple years ago, and those houses are the ones you see have price reductions,” Pujol said. “Like with any market, the properties that are being priced well are receiving [asking price]. They’re also continuing to receive slightly above ask on the prices, and we’re seeing multiple offers.

“It’s a tale of two markets. We have some sellers that are still overpricing, but the home sales are up. Buyers are looking for when the product is updated in good condition, and the locations that they want.”

Fraguio said luxury buyers are also raising standards for dealmaking.

“You have people that are coming into this market that have higher expectations of the quality that they want, and they’re seeing that what’s out there in the market is aged in reference to design and architecture,” he said. “That’s where [Vaster] comes into play. We’re helping a lot of those developers create new inventory for the luxury market.”

International buyers drive new activity

International demand has become another defining feature of the current market, particularly among buyers from Latin America.

Gilberto Iragorri — sales director at The William Residences in north Miami Beach — said the summer market has been more active than many expected.

“We have seen a very active summer,” Iragorri said. “A lot of international buyers, mostly Latin Americans, have been coming through and wanting to buy. There’s been so many great events here, too, with a lot of people coming to them — so there’s a huge traction right now.”

According to Miami Realtors, international buyers accounted for roughly half of all new-construction and pre-construction condo sales over the past 18 months.

Iragorri said buyers from Colombia and Argentina have been especially active.

He attributed some of the Colombian demand to currency changes that have improved purchasing power for some buyers looking at U.S. real estate.

“[Those factors have] activated Colombia,” said Iragorri. “Our other active market is Argentina, and I think that movement was because of the World Cup with so many Argentinians here visiting the sales galleries and buying real estate.”

The William Residences has attracted buyers who previously could not compete in Miami’s highest-priced segments.

“The price range that we have, which is from $480,000 to $1.2 million, it’s their sweet spot,” Iragorri said. “So, they’re buying a lot. Also, at the very high end — the $20-million, $30-million and $40-million apartments — those are selling too, big time.”

Condo market faces supply challenges, developers still active

The condominium sector continues to show a different trajectory from single-family housing, according to HousingWire Data.

Median condo list prices dipped 2.8% year over year to $350,000, while months of inventory increased significantly from roughly 4.9 to 8.5 months.

Active inventory stands at 28,074 units, with median days on market reaching 126 days. The co-op segment remains weaker, with 12.9 months of inventory and a median list price of $208,000.

Despite those challenges, Iragorri said recent activity shows continued buyer confidence.

“We can see the thermometer, indicating that during what has been our worst months, which is summer, and we still have fantastic activity,” he said. “That shows that the market is solid and people are continuing to buy in Miami.”

Fraguio attributed part of the condo inventory increase to new developments entering the market.

He cited successful closings at luxury projects — such as Una Residences by Oko Group and Vita at Grove Isle by CMC Group — while noting that some mid-market projects are taking longer to absorb due to economic conditions.

Iragorri said perceptions of oversupply often overlook Miami’s unique land constraints.

“Sometimes people think Miami is oversaturated with condominiums, but it’s not the reality,” he said. “At the end, all of the units are absorbed by the market. That’s why developers continue to develop.

“We’re seeing a lot of big companies, big developers, buying new pieces of land and coming up with new condominiums. I think the market is booming, and it will continue to boom for the rest of the year.”

Luxury market benefits from scarcity, migration

The luxury segment remains one of the strongest areas of South Florida real estate — supported by limited inventory, affluent migration and continued demand from domestic and international buyers.

Pujol said luxury transactions continue at significant levels.

“I can tell you the other day, one of our agents did two $40 million deals,” he said. “I asked this question, ‘What else are you working on this week?’ And they were working on a $28 million deal. From the high-end standpoint, there’s also no more land in Miami, in the areas where that clientele is coming in.”

Iragorri said brokers should emphasize the long-term opportunity Miami continues to represent.

“The brokers need to tell the people that the opportunity to buy in Miami is now,” Iragorri said. “The reason why is because every time there’s less inventory, the inventory has been absorbed tremendously. Before, we had people investing in Dubai, investing in the Middle East. Right now, that has all changed because of what has happened in that sector of the world.

“Most of those people that were concentrated on buying there are coming back to Miami, especially to buy.”

For now, south Florida and Miami continue to house diverse housing ecosystems; luxury and single-family segments supported by migration, limited supply and wealth creation — and a condominium market adapting to new inventory, higher ownership costs and changing buyer expectations.