Thinking of moving to Miami? With its diverse culture, amazing weather, and proximity to beaches, Magic City is a hot spot for home buyers and renters alike. If you’re considering living in Miami but aren’t sure if you want to buy or rent your home, begin by asking yourself these questions:
- How familiar are you with the Miami metro?
- How long do you plan to live in Miami?
- Do you want to live close to Downtown Miami?
- Do you want to live close to a beach in Miami?
- Can you afford to live in your desired Miami neighborhood?
Now that you’ve thought about these questions, you’re ready to begin your research! Explore the pros and cons of buying vs renting in Miami below!
Reasons to Buy in Miami
While homeownership is a major financial commitment, there are many benefits to buying a home in Miami, including taking advantage of a strong housing market and building equity! Below are a few things to consider before investing in Miami’s real estate market.
Strong Housing Market
The Miami housing market ranks as one of the best real estate markets in the U.S. However, properties are selling fast, thanks to mortgage rates as low as 2.875%. This means demand is high, inventory is low, and home prices are starting to increase—so now could be a good time to start house hunting in Miami!
Vacation Property Investment
Miami is one of the top U.S. cities for investing in an Airbnb because of its huge tourism and hospitality industry. Whether it’s a single-family home or a condo, buying a house in Miami and using it as a second home or vacation rental property could be a good return on investment.
Buying real estate in Miami allows you to build home equity. Putting equity into your home will provide you with many financial benefits. If you can increase your down payment, make additional mortgage payments, or remodel your home, you can increase your future return on investment with your home.
Low Property Tax
Sitting well below the 1.01% national average, Florida is one of the states with the lowest property tax, with Miami-Dade County offering a low property tax of 0.83%! This means residents buying a home in Miami can find more affordable home investments with these money-saving factors.
Homebuyers Are Protected
The Sunshine State offers homebuyers the Florida Homestead Protection, which outlaws judgement creditors from forcing a levy or sale on your house. Florida homeowners are also eligible to apply for the Florida Homestead Property Tax Exemption, which reduces property tax.
Customize Your Home
Looking to add clay tiles to your roof? Want to paint the walls a bold color? Planning to update the landscape design? Buying a home in Miami gives you the ability to customize your home the way you want. Unlike most rental properties, homeowners have the ability to make significant changes to their homes.
Miami houses typically offer more space than Miami apartments. The average size of an apartment in Miami is around 887 square feet, while the median square footage of a home in Miami is around 1,573. Not only does this give you more storage space, but it can also allow you to expand rooms or grow your family.
Best Places to Buy a Home in Miami
Below are the Miami neighborhoods and suburbs you should check out if you’re interested in buying a home!
- Coconut Grove
- Hialeah Gardens
- Upper Eastside
- Home Price: $592,500 median purchase price
- Crime Rate: Safer than 58% of Florida cities
Located on the shoreline of Biscayne Bay is the historic Coconut Grove neighborhood. Here, Miami residents will find contemporary new construction and Mediterranean-style villas on quiet streets lined with lush banyan trees and palm trees. Families living in “The Grove” can send their kids to top-rated schools, including Coral Gables Preparatory Academy and Frances S. Tucker Elementary School. A highly walkable area, this Miami neighborhood offers residents sidewalk cafes, local boutiques, and great parks like Peacock Park and Kennedy Park. Residents can also become members of Coconut Grove Sailing Club and sign up for sailing lessons.
- Home Price: $151,929 median purchase price
- Crime Rate: Safer than 72% of Florida cities
Named after Tamiami Trail and Flagler Street, Flagami is an affordable Miami neighborhood that’s great for home buyers. Considered one of Miami’s best real estate bargains, this neighborhood has some of the most reasonably-priced Mission Revival and Spanish-style homes in the Miami-Dade area. But that’s not all Flagami offers! Located just north of the neighborhood are Blue Lagoon and Miami International Airport, which provide employment opportunities in travel, tourism, and hospitality. There are also tons of activities nearby, including golfing at Melreese Country Club and hitting the water slides at Grapeland Water Park.
- Home Price: $148,000 median purchase price
- Crime Rate: Safer than 53% of Florida cities
Looking for good housing options in a safe, affordable area? Hialeah Gardens is a great place for those looking to buy a home in Miami, offering an abundance of Mediterranean-style ranches and condos. Around 65% of residents here own their homes, and most residents plan on making this Miami suburb their permanent home, thanks to well-rated schools like Hialeah Gardens Elementary, Hialeah Gardens Middle School, and Hialeah Gardens High School. Also, Hialeah Gardens is home to many top-notch parks, including Westland Gardens Park, Amelia Earhart Park, and Hialeah Gardens Botanical Garden.
- Home Price: $341,260 median house price
- Crime Rate: Safer than 24% of Florida cities
Consisting of the Miami Modern (MiMo) Biscayne Boulevard Historic District and neighborhood of Edgewater, the Upper Eastside attracts residents who want to buy post-war Modern homes in Miami. The MiMo District itself sprawls across 27 blocks of Biscayne Boulevard, where you can find a variety of trendy restaurants and some of the best shopping in Miami. Also located in the heart of the Upper Eastside is the vibrant community of Miami Ironside, a mixed-use zone of art galleries, shops, restaurants, and more.
Reasons to Rent in Miami
If you’re not sure how long you plan on living in Miami, or if you aren’t ready to commit to owning a home, renting in Miami may be the better option. There are a number of reasons to consider renting a home in Miami, including the freedom to move, fewer living expenses, and more!
Explore the City
New to Magic City? Renting is a great way to explore and familiarize yourself with Miami neighborhoods before settling down! As a renter, you have the ability to move around the Miami metro, as most lease options are available in month-to-month, six-month, or 12-month options. Try living in a beachside apartment for a while, then move further inland to experience more urban living before deciding where to settle!
Fewer Living Expenses
The average Miami apartment dweller pays about $140.99 a month for basic utilities, while the average Florida household pays $459.40 a month for utilities. Renting in Miami also means you can save money on insurance. The average cost of renters insurance in Miami is $215 a year, whereas homeowners insurance costs around $1,353 per year.
One thing renters don’t have to worry about is home maintenance, which typically falls to a landlord or property management company. Whether it’s spraying for pests, making sure the AC system is up-to-date, or fixing a leaky sink, it’s often your landlord’s responsibility to fix and maintain the rental property.
Access to Great Amenities
Renting an apartment or condo in Miami means you have access to amenities most homeowners would have to pay extra for. Renters in Miami can find an apartment with amazing views of the beach or the Miami skyline! Another great perk of renting? Access to a pool! With those hot, humid summers in Florida, having access to a pool is big win for Miami residents. And since a pool installation costs an average of $49,634, renting means you won’t have to pay top-dollar to build and maintain a pool.
Best Places to Rent a Home in Miami
Below are the Miami neighborhoods you should check out if you’re interested in renting a home!
- Downtown Miami
- Little Havana
- Home Price: $1,272 median monthly rent
- Crime Rate: Safer than 8% of Florida cities
Looking to rent a home in the heart of Miami? Downtown Miami is perfect option! In fact, check out Brickell, an area that’s ideal for renters, thanks to its wide range of apartments and niche selection of eateries, bars, and entertainment options. Downtown Miami has so many things to do, too! You can catch a Miami Heat (NBA) game, go for a jog along the longest waterfront baywalk in Miami, pick up fresh produce at the Arsht Center Market Mondays, or get tickets to the latest Broadway show at Adrienne Arsht Center for the Performing Arts.
- Home Price: $932 median monthly rent
- Crime Rate: Safer than 39% of Florida cities
The heart of Miami’s Cuban culture, Little Havana is perfect for singles and young professionals looking to rent a home in Miami! Centered around Calle Ocho (8th Street), this Miami neighborhood is lined with Latin-inspired fruit stands, art galleries, music venues, and more! Here, Miami residents can find affordable rental options from apartments to Mission Revival-style homes. When walking through Little Havana, be sure to admire the colorful murals on buildings made from mosaic tiles. And if you’re looking for something to do, you can catch locals playing dominoes at Domino Park or hit up a Miami Marlins (MLB) game at LoanDepot Park!
- Home Price: $695 median rent price
- Crime Rate: Safer than 23% of Florida cities
Historic Overtown is an ideal neighborhood for those looking to rent in Miami! Located just northwest of Downtown Miami, this neighborhood offers mid and high-rise apartment options, as well as single-detached family homes for rent. This tight-knit community is home to yearly festivals and great schools like Theodore R & Thelma A Gibson Charter School and Booker T Washington Senior High School. Residents can also experience the local culture by visiting the soul food restaurants dotting the area or the historic Lyric Theater.
- Home Price: $1,296 median monthly rent
- Crime Rate: Safer than 23% of Florida cities
Wynwood is a hub for art and culture in Magic City! One of Miami’s hippest hangouts, Wynwood is home to colorful murals like The Wynwood Walls, as well as more than 70 galleries! Besides the local art, residents living in the Wynwood area can find a wide range of trendy eateries, craft breweries, and local boutiques. And buying local isn’t the only way this community supports each other—the Annual Wynwood Pride Festival is attended by over 50,000 people and is part of a neighborhood vision to unite and provide a platform for Miami’s LGBTQ+ community!
Whether you plan to buy or rent a home in Miami, Extra Space Storage has convenient self storage facilities located throughout the Miami metro that can help with your transition. Find affordable storage units in Miami!
Neighborhood and suburb statistics from AreaVibes