Find out where home rents are rising and falling by biggest margins in Miami-Dade

Residential rents have dropped, compared to a year ago, by up to 40% in some of Miami-Dade County’s trendiest neighborhoods.

Rents on houses, apartments, townhomes and condominiums declined the most in Sunny Isles Beach, Edgewater, Morningside and Tamiami, according to the latest rent data from RentHub. The declining rents in certain parts of the county are a sign of the changing times, real estate experts say, with increasing interest rates and economic uncertainty.

However, most areas of Miami-Dade still are seeing rent hikes, despite trendier neighborhoods seeing sharp drops. The Miami Lakes ZIP code 33054, for example, had the biggest increase in annual rent at 65%, which boosted median monthly rent to $4,130 compared with $2,500 a month the prior year. The Wynwood and Midtown Miami ZIP code 33127 saw the second-highest increase with rents jumping by 45%, to $4,035 a month from $2,780. Miami Beach’s Mid Beach ZIP code recorded a 41% hike, to $4,800 monthly from $3,400.

RentHub gathers and compiles the median rents for home listings in metropolitan areas from multiple sources, including the Multiple Listing Service, the go-to platform where real estate agents post listings and sales.

The Sunny Isles Beach ZIP code 33160 had the biggest drop at 40%, based on data comparing median asking rents in December 2022 to December 2021. The Tamiami ZIP code 33184 followed with a 15% downswing, and Edgewater and Morningside ZIP Code 33137 trailed behind with a 13% plunge.

The median rents among listings now hover at $1,950 a month in Sunny Isles Beach, down from $3,250 monthly a year ago. Tamiami has a median rent of $2,589 a month from $3,050 in December 2021, and prices sit at around $3,414 a month in Edgewater and Morningside from $3,010 a month.

“These are the canary of the coal mine of what’s to come,” said Peter Zalewski, founder of the consultancy firm Condo Vultures. “As renters are going to renew, they are going to get better terms. Landlords are going to want to keep tenants, because of these factors. As leases come up you’re going to see more rentals on the market.”

The cost of living exploded in the Miami-area and much of South Florida during the pandemic that emerged in March 2020. Many Miami-Dade cities saw double-digit to triple-digit hikes in annual rents due to a large wealth migration to the region from across the country.

As 2023 unfolds, landlords are expected to pare rent increases because there will be less competition for each home lease and more rental housing under construction will be completed, experts say.

Also, the tumble of cryptocurrency — epitomized by the collapse of the global crypto exchange company FTX — and national economic uncertainty will have more renters leaving Miami or moving in with roommates, family or friends to save on rent.

“A couple of things (are at play), there’s going to be a lot of new supply coming to the market,” said John Njoku, founder of RentHub, and landlords, “are not going to have the pick of the litter. The trend of racketing rents up with reckless abandon will behind us.”