Miami Luxury Real Estate Nearly Doubled in Value Over the Past Five Years, Knight Frank Report Reveals

Knight Frank’s Wealth Report 2025 reveals that Miami has emerged as one of the top-performing luxury real estate markets globally, outpacing nearly every other major city outside Dubai. The report highlights that a $1 million investment in Miami’s prime residential market in January 2020 would have grown to $1.9 million by January 2025, reflecting a remarkable 90% increase in value.

This explosive growth underscores Miami’s evolution into a magnet for global wealth—driven by favorable tax policies, an influx of remote workers, and high-net-worth individuals seeking lifestyle, climate, and investment advantages. The report notes that Miami, along with Palm Beach and Aspen, has benefited from “super-charged growth” as global wealth becomes increasingly mobile.

Over the past five years, geopolitical upheaval, the COVID-19 pandemic, and shifting economic patterns have redefined global property markets. Yet, amid that uncertainty, Miami has thrived. The city’s robust performance aligns with broader global trends noted in the report: luxury real estate continues to be viewed as a cornerstone of both wealth preservation and growth, with 44% of global family offices planning to increase their real estate exposure over the next 18 months.

What’s driving Miami’s continued ascent? According to the Wealth Report, it’s a confluence of factors:

• Affluent migration from high-tax states like New York and California.
• Lifestyle shifts accelerated by remote work, making Miami an appealing primary residence.
• Limited supply of prime properties in coastal neighborhoods.
• Strong interest from international buyers, particularly from Latin America and Europe.

With Miami forecasted to continue its upward trajectory in 2025, the city remains a beacon for luxury property investment. Whether as a primary residence, second home, or long-term investment, Miami continues to prove its value to the world’s wealthiest investors.