New Development - Pre Construction in Miami

[Account Closed]

Hey guys,

I am looking into purchasing a new development pre construction condo in Miami that is STR approved for AirBNB. (Most new projects projected for 2026/2027)

I am aware that the market has seen significant gains both in home prices and rental prices over the past few years.

I wanted to get some feedback on your thoughts of making such an investment where the goal is:

1. Long term hold for appreciation

2. Maximize cashflow via STR (hoping to get 7-8% net)

Second question, with these goals which would be the most attractive area for such an investment: Miami Beach, Miami Downtown, Brickell, Midtown.

Thinking of getting 2 condos (1 bd or 1bd + den) ~$750-1M each

Payment structured are usually 30-40% until project is complete

Thank you

[Ecaterina Katerina Morosan]

Hi Daniel,

1. Long-term hold for appreciation. Yes! As you might know already, a lot of big corporations and wealthiest people of the US have moved to Miami area in the past 2 years as well as families who follow better lifestyle for their children's future and themselves. make sure you buy a somehow unique product (for ex; water view, flexible layout, high ceilings, building amenities etc). 

2. Maximize cashflow via STR (hoping to get 7-8% net). I think 7-8% is an average cap rate for Miami investors to expect at 40% down even if you end up renting the unit as a long-term rental. So you should be good.