Miami’s housing market is showing significant signs of strain as total home and condo sales dropped sharply in May 2025, despite continued long-term price appreciation and strong global demand.
According to new data from the MIAMI Association of Realtors and Southeast Florida MLS, total home sales in Miami-Dade County fell 20.2% year-over-year in May 2025, declining from 2,397 to 1,913 transactions. The steepest drop was seen in the existing condominium segment, where sales plunged 25.1% from a year ago, falling from 1,295 to just 970 units sold.
Single-family home sales also posted a double-digit decline, down 14.4% annually to 943 transactions.
“Sales have remained weak with mortgage rates hovering near 7%,” said Miami Realtors Chief Economist Gay Cororaton. “The good news is that affordability conditions are poised to improve if the Federal Reserve begins cutting interest rates in the second half of the year.”
Resilient Prices, Soft Volume
Despite weaker sales, condo prices have remained firm, highlighting the long-term appeal of the Miami lifestyle for both domestic and international buyers. The median existing condo price in May held steady year-over-year at $425,000, marking 160 price gains or holds in the past 168 months–a run stretching over 14 years.
Over the past decade, condo prices have surged 103%, rising from $209,000 in 2015. Single-family home prices have climbed even more–up 139.4% to $675,000, the latest median figure for May 2025.
Miami’s price appreciation continues to outpace both Florida and the nation. Statewide, condo prices dropped 6.1% year-over-year, while nationally the median price rose 1.3% to a record $422,800.
Inventory Rising, But Still Below Pre-Pandemic Levels
Supply is beginning to recover. Total active listings in Miami-Dade increased 40.8% year-over-year to 18,879, yet inventory still sits 17% below May 2019 levels. Condo inventory rose 39.5% year-over-year to 13,192 units but remains well below its pre-pandemic peak of nearly 16,000.
New listings of Miami condos dropped 3.4% annually, signaling sellers are not rushing to market. Miami’s condo inventory currently stands at 14 months of supply, indicating a strong buyer’s market. By contrast, single-family home inventory reached a balanced 6.6 months of supply.
Luxury Sales and Cash Buyers Remain Strong
Despite the overall slowdown, Miami’s luxury segment remains robust. Sales of $1 million-and-up condos rose 78% from pre-pandemic May 2019 levels, climbing from 88 to 157 transactions.
Cash remains king in Miami, with 37% of all May transactions conducted without financing–well above the 27% national average. Condos made up the lion’s share of cash deals, with over 50% of sales completed in cash.
Financing Obstacles Remain a Drag
A major challenge continues to be FHA loan restrictions. Only 21 of the nearly 2,400 condo buildings in the tri-county area are approved for FHA financing, limiting access for first-time buyers. Florida’s stricter reserve requirements also make mortgage financing for condos more difficult compared to other states.
Economic Impact and Outlook
Miami’s May housing slowdown translated into a 14.17% year-over-year drop in total dollar volume, falling from $2.2 billion to $1.9 billion. Condo dollar volume slid 9.5% to $854 million, while single-family volume dropped 17.5% to $1 billion.
Still, the local housing market generated an estimated $246 million in economic impact, based on National Association of Realtors benchmarks.
Looking ahead, the release of a long-awaited new construction data report by Miami Realtors could provide additional insights into a shadow market not captured by the MLS, which is particularly important given the surge in developer-led pre-construction activity across South Florida.
As Miami’s housing market navigates through elevated rates and tighter financing conditions, industry leaders remain bullish on the region’s fundamentals. “No other U.S. market can boast the long-term resiliency of the Miami condo market,” said Miami Realtors Chairman Eddie Blanco. “People from around the world will always want a piece of the Miami lifestyle.”
