Apartments Beat Houses on Yield Across Miami-Dade

Lower entry prices are the engine behind apartments' yield advantage in Miami-Dade County. Because apartment purchase prices sit well below house prices at every bedroom count, yet nightly short-term rental rates don't fall by the same proportion, apartments convert a smaller capital outlay into a higher gross return. Across the market, apartments average 14.9% gross short-term rental yield compared with 7.6% for houses, a gap of 7.3%. These are gross figures before HOA fees, which matter significantly for apartments and are discussed below.

All figures are city-level medians across 79 ZIP codes. They indicate the direction of the market but will not match any single neighborhood. The dashboard breaks this down by suburb, bedroom count, and property type.

Apartments Command Higher Gross Yields at Every Bedroom Count

City medians across 79 ZIP codes. Gross yields before HOA (apartments) and before operating costs.

Lower Entry Prices Drive the Gap, but HOA Fees Claw It Back

The yield gap comes down to a price mismatch. A 2-bed apartment in Miami-Dade has a median price of about $245,000, while a 2-bed house sits at about $503,000. Yet the apartment's nightly rate doesn't fall by the same proportion: guests pay for location and amenities (pools, gyms, security), not square footage alone. The result is that a smaller purchase price produces a larger yield percentage even when gross revenue is lower in absolute terms.

However, apartment gross yields do not account for HOA fees. In Miami-Dade, a typical 2-bed apartment incurs roughly $3,100 per year in HOA costs. That figure varies widely: a modest building in Hialeah might charge half that amount, while a waterfront tower in Brickell or Sunny Isles can charge significantly more. Because HOA fees come directly off income, the effective yield gap between apartments and houses is narrower than the table suggests.

There is also a regulatory layer specific to apartments. Individual condo associations in Florida can prohibit short-term rentals regardless of the state's generally permissive stance. Florida law preempts local government bans enacted after June 2011, but condo declarations are private contracts, not local ordinances, so they can still restrict or ban short stays. Always review the association's declarations and rules before purchasing an apartment for short-term rental use.

Bedroom Count Affects Houses and Apartments Differently

For houses, yields generally rise with bedroom count. Larger houses attract group travelers, families, and event bookings who are willing to pay a premium per night that outpaces the increase in purchase price. The 4+ bed category in particular captures demand from vacation groups who need space, and Miami-Dade's tourism market supports strong nightly rates for larger properties.

Apartments follow a different pattern. Apartment yields rise from 1-bed through to 3-bed, where the combination of moderate entry prices and strong nightly rates produces the highest gross return in the table. At the 4+ bed level, the picture changes. Large apartments are relatively rare and often sit in premium developments with steep purchase prices, which compresses the yield. The 4+ bed apartment category also bundles 4, 5, and 6+ bedroom listings, so a small number of luxury penthouses can pull the median price upward. For long-term rentals, the curve may diverge further: family-sized apartments attract stable tenants but at rents that don't scale linearly with price.

Suburb Variation Is Substantial Across 79 ZIP Codes

These city medians smooth over significant neighborhood-level differences. A short-term rental in North Miami/Opa-locka (33167) operates in a very different price and demand environment than one in a beachfront ZIP like Miami Beach or Key Biscayne. Lower-priced areas often show higher gross yields because the denominator (purchase price) is smaller, while tourist-heavy areas may deliver higher absolute revenue but at a premium entry cost. The dashboard shows suburb-level data for every bedroom count and property type, so you can compare within the specific area you are evaluating.

View Miami in the dashboard → Free preview · every bedroom count and property type

What the Table Does Not Capture

• HOA fees: Estimated at around $3,100 per year for a 2-bed apartment in Miami-Dade, not deducted from the gross yields in the table above. This is the single largest factor that narrows the apartment yield advantage.
• Capital appreciation: Houses in Miami-Dade typically outperform apartments on long-term value growth because you own the land. In a premium market where median prices sit at about $751,000 for a 3-bed house, well above the Florida median of about $384,000, investors are partly betting on appreciation rather than yield alone.
• Renovation potential: Houses offer optionality (extensions, pools, outdoor entertaining areas) that apartments cannot match. In Miami-Dade's competitive short-term rental market, a pool or upgraded outdoor space can increase nightly rates.
• Financing constraints: Some lenders restrict mortgages on small apartments (under 500 sq ft) or buildings with high investor-to-owner ratios. Several Miami-Dade condo buildings exceed common investor-ratio thresholds, which can limit financing options or require larger deposits.
• 4+ bed data breadth: The 4+ bed category bundles 4, 5, and 6+ bedroom listings. A small number of outlier properties can pull the median in either direction, so treat these figures with more caution than the 2-bed or 3-bed categories.

A Premium Market Where Yield Competes with Appreciation

Miami-Dade is a premium market by any measure. The median 3-bed house price of about $751,000 sits well above the Florida median of about $384,000 and nearly triple the national median of about $243,000. That price premium compresses gross yields: the long-term rental yield of 4.8% sits below the national median of 5.3%. Investors here are, implicitly or explicitly, banking on capital appreciation to supplement rental income.

This dynamic shapes the house-vs-apartment decision. If your priority is cash flow and gross yield, apartments deliver more at every bedroom count because the entry price is lower relative to rental income. If your priority is long-term wealth accumulation through land appreciation, houses are the stronger vehicle despite lower yields. Many investors in Miami-Dade hold both: apartments for income, houses for growth. The short-term rental market scores 9.4/10 on the market score methodology, reflecting strong tourist demand, while the long-term rental score of 7.9/10 reflects solid tenant demand in a growing metro.

For context on how Miami-Dade's overall rental economics compare, data sources details where the underlying price and rent figures originate. Miami's Airbnb Premium Drops to 2.7% Net After All Costs

Data reflects market conditions as of May 2026.

This information is for educational purposes only and should not be considered financial or legal advice. Regulations and market conditions change frequently. Verify current rules with local authorities before making investment decisions.