Miami Home Prices Down 18% Since Peak, Realtor.com Reports

According to a new housing report released today by Realtor.com, Miami stands out as one of the U.S. metros experiencing the steepest year-over-year declines in home prices. The national real estate platform analyzed data from the 50 largest metropolitan areas in the country and found that while home prices across the U.S. remain relatively stable overall, regional disparities are growing wider. Miami, in particular, has seen a significant pullback, with its median list price dropping nearly 18% since peaking in July 2022. This marks one of the largest three-year price corrections among all major U.S. housing markets.

In July 2025, Miami’s real estate market continued to soften, with homes taking longer to sell and more sellers adjusting their expectations. The report notes that properties in Miami are now sitting on the market an average of 16 days longer compared to this time last year, reflecting a shift in supply-demand dynamics. While the national median list price held steady year-over-year, Miami saw a sharp decline, driven by waning buyer urgency, rising insurance premiums, and lingering affordability challenges. Additionally, the percentage of homes with price reductions increased nationwide, with 20.6% of active listings featuring a cut in July. This trend is especially pronounced in the South and West, where cities like Miami, Austin, Tampa, and Phoenix continue to recalibrate from their pandemic-era highs.

One notable factor behind Miami’s price correction is the growing pressure on the condo segment. Condominiums represent a large portion of Miami’s housing inventory, particularly in the urban core and waterfront neighborhoods. Rising insurance costs, heightened HOA dues, and new regulatory changes affecting older buildings have all contributed to weakening demand in this category. As a result, many condo sellers are either reducing their prices or choosing to temporarily delist their properties. According to Realtor.com’s data, delistings have surged 47% year-over-year nationwide as sellers in slower markets pull back, unwilling to compromise on pricing in a changing environment.

For prospective buyers in Miami, the current market presents a window of opportunity. Inventory levels have returned to or exceeded pre-pandemic levels in many parts of the metro, giving buyers more choices and stronger negotiating power. This environment is particularly advantageous for those willing to act while prices remain soft and competition is muted. On the flip side, sellers who remain anchored to 2022 pricing may struggle to attract offers unless they adjust to today’s market realities. In some cases, sellers are opting to withdraw their listings and wait for a potential market rebound in the future.

In summary, Miami remains one of the most closely watched housing markets in the nation due to its dramatic price swings and unique inventory composition. As of July 2025, the metro’s median list prices have fallen nearly 18% from their peak, properties are sitting longer, and sellers are increasingly forced to adjust or step back. While this represents a challenge for some, it may also signal a healthy rebalancing—one that could open new doors for well-prepared buyers. Whether this trend continues into the busy fall season will depend on interest rates, insurance reforms, and broader economic sentiment.