The Impact of International Buyers on Miami’s Housing Market

Miami has always been an international city, but in 2025, foreign buyers are playing an even more significant role in shaping its real estate landscape. Their presence affects everything from pricing and inventory to what kinds of homes developers build. Here’s how international buyers are influencing the Miami market, and what buyers, sellers, and agents should know.

Key Trends & Data

• High Share of New Construction Sales by Global BuyersIn the 18-month period ending in June 2025, international buyers purchased 49% of South Florida’s new construction, pre-construction, and condo conversion sales. MIAMI REALTORS®+1 This shows that nearly half of what’s being built (or planned) is going into international hands.

• Latin America Dominates the Foreign Buyer PoolThe majority of international homebuyers in Miami are from Latin American countries. Colombia, Mexico, and Argentina are especially active. Newsweek+2MIAMI REALTORS®+2

• Miami Captures a Large Share of U.S. International Buyer DemandIn Q1 2025, Miami accounted for 8.7% of all international home-shopping interest in the U.S. via site traffic to listings. Realtor

• Exchange Rates and Global Instability Influence DecisionsMany international buyers are looking to preserve wealth against inflation, currency devaluation, or economic/political instability at home. Buying U.S. real estate in a strong market like Miami, especially in new developments (which often require less maintenance and offer amenities), is seen as an attractive option. Newsweek+1

Impacts on the Market

1. Price Pressure in New Construction & Luxury SectorsWith high foreign demand, especially in new luxury condos and waterfront properties, prices in those sectors are being pushed upward. Sellers in those tiers often have multiple buyers and can command premium pricing.

2. Inventory Allocation & SegmentationDevelopers increasingly target international buyers when planning new condo/premier residences. This can lead to less inventory (or slower growth of inventory) available for local buyers in those same sectors.

3. Shorter Sales Cycles in Popular SegmentsIn certain neighborhoods or development projects that attract international interest (especially luxury, amenities-rich buildings), units tend to sell faster. Buyers pay in cash more often, reducing delays associated with financing. HomeAbroad Inc.+2MIAMI REALTORS®+2

4. Shifts in Feature PreferencesInternational buyers often favor new construction, condo amenities, low maintenance, safety, and good infrastructure. Features like modern amenities, doormen, gyms, secure parking, etc., become more valuable. Also, new builds are preferred because of safety and regulatory concerns (especially following new inspection/condo safety laws in Florida). Newsweek+1

5. Market Dynamics for Local BuyersLocal buyers may face stiffer competition in sections of the market that attract international investment. This could raise prices in certain neighborhoods beyond what local wage/income growth supports.

Challenges & Considerations

• Price Affordability: As the luxury segment heats up, affordability for middle and lower tier buyers can worsen.

• Regulation & Policy Risk: International buyers may be sensitive to property taxes, insurance costs (especially in flood-risk areas), regulatory changes, or visa/residency policies.

• Currency Risk & Exchange Rates: These can go either way—sometimes favorable, sometimes not. Fluctuations affect buying power.

What This Means Going Forward

• For Sellers & Developers: If you're selling or building in high-demand areas (luxury, new construction, waterfront), catering to international buyers can be a strong strategy. Highlight amenities, maintenance, safety, and investment potential.

• For Local Buyers: Be realistic about what you can afford. It helps to work with agents who understand the dynamics of what international interest brings (e.g. pricing, timing, competition).

• For Agents: Marketing globally, knowing what appeals to international clients, using virtual tools, knowing financing and regulatory issues for foreign nationals—all are advantages.