Which South Florida Condo Markets Are Best, Worst For Investors?
This report compares and contrasts the major coastal condo markets in the tricounty South Florida region of Miami-Dade, Broward and Palm Beach based on the "1% Rule" of real estate.
As the first quarter of 2025 comes to a close, we are releasing our ranking of South Florida’s 10 most consequential condo markets.
During the last 12 weeks, we have conducted an in-depth analysis of various markets in the tricounty South Florida region of Miami-Dade, Broward and Palm Beach counties.
Each week, we explored a different major condo market, gathering key statistics to gauge performance.
Now, we're combining these insights to rank each market across five critical categories:
And the “1% Rule” of real estate investing.
Each category ranking is scheduled be published this week in a separate report.
Our comprehensive rankings provide a snapshot of South Florida's condo market, highlighting the opportunities and pitfalls of each area.
For this particular report, we are ranking the South Florida markets based on the “1% Rule” of real estate investing.
Condo valuations vary dramatically in South Florida with market prices being overinflated by between about 59 percent and nearly 369 percent based on the “1% Rule” of real estate investing.
The Investopedia website explains that the rule “is used to determine if the monthly rent earned from a piece of investment property will exceed that property's monthly mortgage payment. The goal of the rule is to ensure that the rent will be greater than or - at worst - equal to the mortgage payment, so the investor at least breaks even on the property.”
For example, a $100,000 condo should generate about $1,000 in monthly rent.
Investopedia goes on to state that the “1% Rule” can “help an investor gauge the risk and potential gain that might be achieved by investing in a property.”
The “1% Rule” is clearly a “back of the napkin” approach that is not foolproof but it can save investors the time needed to conduct a complete evaluation of a prospective property.
We hope the following charts behind the paywall will assist you to identify the most profitable condo markets in South Florida so that you can focus your efforts effectively.
-Peter Zalewski, Founder of the Miami Condo Investing Club™