South Florida Rental Growth Stalls, Forcing Landlords To Adjust Price Expectations

Miami Condo Mondays™ is a live podcast hosted by Peter Zalewski of the Miami Condo Investing Club™ and veteran broker Jenny Huertas of CVRRealty.com providing an in-depth look at the latest residential real estate trends in South Florida.Recorded weekly in Greater Downtown Miami, the podcast offers a one-hour discussion on various real estate topics, including preconstruction condos, market trends and investment strategies.The hosts share their expertise, with Zalewski focusing on macro perspectives and Huertas offering micro insights from her on-the-ground experience.Tune in every Monday at 4 PM (EST) on the social media accounts of Peter Zalewski and Jenny Huertas for insights on the latest trends in the South Florida condo market.OverviewThe South Florida rental market is showing notable signs of softening as the region enters the final quarter of 2025, with data pointing to increased supply and longer listing periods across the tricounty area.These latest rental trends in the tricounty South Florida region of Miami-Dade, Broward and Palm Beach through the first nine months of 2025 were the focus of the most recent episode of the Miami Condo Mondays™ podcast with co-hosts Zalewski and Huertas.Statistics show more than 24,550 rental properties are currently available for lease with a median asking price of $2,800 per month or about $2.96 per square foot, according to CVRRealty.com.This large inventory comes as the growth in leasing activity itself is slowing, a clear sign of a softening market.Overall leasing in South Florida increased by only about one percent in the first nine months of 2025 compared to the same January through September period in 2024.Tenants leased about 50,842 residences in the first three quarters of 2025 at a median price of $2,400 per month, up from nearly 50,235 leases at a median price of about $2,250 in the same period of 2024.A key indicator of the softening market is the time it takes to secure a tenant.The residences currently listed for rent have been on the market 41 days and counting without going under contract. Once a tenant is identified, it usually takes up to an additional four weeks for the renter to move into the residence.In the first nine months of 2025, the leases that were completed took a total of about 47 days, ranging from listing the property for rent to the tenant moving into the residence.With a median rent of $2,400 per month in South Florida in 2025, landlords are receiving a gross revenue of about $80 per day. If it takes 47 days to lease a residence, this means landlords may have lost out on about $3,760 of rent while trying to fill their vacant residences.Additionally, real estate commissions - which are negotiable - for rental properties are typically 10 percent of the gross annual rent.At a monthly rent of $2,400 in 2025, landlords are out of pocket an additional $2,880 in real estate commissions, which are usually split between the brokers representing the landlord and the new tenant.When both costs - vacant units and real estate commissions - are combined, it means it cost landlords about $6,640 to lease units to new tenants.Based on the current leasing activity, South Florida now has about 4.3 months of available rental supply, a figure that remains below the six-month threshold considered to be a balanced market.On a county-by-county basis, the rental supply stands at 4.2 months in Miami-Dade, 4.5 months in Broward and 4.6 months in Palm Beach ahead of the traditionally busy South Florida Winter Buying Season that begins in November.Less than six months of supply indicates a landlords advantage while more months suggests a tenants advantage.