Miami is the number one city in the world and can cause a housing accident if it occurs.
It ranks Miami number one among 20 major cities around the world, according to the Swiss Union Bank (UBS) recent Global Real Estate Bubble Index. Miami was followed by Tokyo and Zurich.
A housing bubble occurs when real estate prices exceed the underlying value.
The UBS report doesn’t believe a crash is imminent, but it points to some of the reasons why Miami is vulnerable.
– Miami’s inflation-adjusted home prices have risen faster in the last 15 years than any other city in the UBS study.
-UBS scores state that the housing market in Miami is not normal and is currently “high risk.”
·44 of the 50 major US metros look at properties that remain on the market for longer than usual. Miami is the worst hit.
– My Miami home has been unsold for almost three months.
– Property prices are also falling sharply in Miami, causing fear that a crash could be on the horizon.
-The average selling price for Miami Holmes was $595,000 in July, down from $640,000 the previous year.
– Miami’s current price-to-rental ratio exceeds even the 2006 US Housing Bubble measure.
UBS points out that a major reason many condominium owners are selling is from state overregulation after surfside condominiums collapsed from 2021.
From July 2024 to June 2025, Florida lost its market value of about $10009 billion due to a decline in property values, but many people’s local property taxes remain high.
