Miami Rentals Not So Hot This Summer

The short-term rental market in Miami isn’t so hot this summer. And there are a number of reasons for that: A slowing of the post-Covid vacation rush, the Florida government's hostility toward the LGBTQ community, and travelers' financial constraints due to inflation are a few contributing factors.

The economic collapse in South American countries has particularly impacted Miami tourism from that region, according to the Miami New Times. Additionally, the saturation of the market with new rental units purchased by out-of-state investors has affected revenue, as many owners struggle to cover their mortgages. The average daily rental rate for Airbnbs in Miami held steady at $218 in May 2023 compared to $221 in May 2022, the article said. Xavier Doe, a cofounder of Miami Residences Management and Vacation Rentals, was quoted as saying, "People who are not financially stable will be forced to sell because they made their projections based upon the year before. It was great the year after COVID when everyone came to Miami. Those people bought properties to make into Airbnbs, but they can barely cover their mortgages." Although occupancy is steady, he estimated rental rates fell around 20% in the metro area.

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