August 29, 2025 - What the Data Reveals About Buyer Demand and Seller Challenges in Miami Beach
Miami’s waterfront real estate market has always attracted the world’s wealthiest buyers, but today, the demand for new construction homes is at an all-time high. Ultra-high-net-worth (UHNW) clients are increasingly willing to pay a significant premium for newly built properties—and the reasons go well beyond sleek design and modern layouts.
What Buyers Value Most
While buyers everywhere seek newer homes for features like energy efficiency, better layouts, and lower maintenance, Miami’s luxury buyers have very specific priorities. My clients consistently point to:
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Long-term durability – Homes built with stronger materials and advanced construction standards.
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Hurricane resistance – Elevated structures, impact glass, and resilient roofing.
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Flood mitigation – Engineering that accounts for rising sea levels and storm surge.
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Energy efficiency – High-performance insulation, efficient systems, and lower operating costs.
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Insurability & investment protection – Confidence that their asset can weather both literal and financial storms.
In short, these buyers want more than beauty—they want security, efficiency, and long-term value.
The Numbers Tell the Story
I analyzed Miami Beach waterfront sales in the Miami MLS, comparing the past twelve months to 2010. The difference is striking:
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2024–2025:
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40% of sales were newer homes (10 years or less).
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Median sales price: $23 million ($2,838/sf).
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Sold in half the time of older homes.
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2010:
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Only 13% of sales were newer homes.
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Median sales price: $9.35 million ($1,274/sf).
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Newer homes actually took longer to sell than older ones (260 vs. 71 days).
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The takeaway: The price premium for new vs. existing homes (about 30%) hasn’t changed much. What has changed is demand. A decade ago, buyers tolerated older homes. Today, they overwhelmingly prefer new construction—and those homes sell much faster.
What This Means for Buyers and Sellers
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If you’re a seller of an older waterfront home (often 50–80 years old): Be aware that today’s buyers are not lining up the way they once did. Pricing and positioning are critical. You may need to highlight redevelopment potential or unique characteristics that set your property apart.
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If you’re a buyer looking for new construction: You’re not alone. The competition is intense, and premium pricing is here to stay. The good news is that newer homes offer peace of mind, better efficiency, and stronger investment protection.
Final Thought
Miami is no longer just about waterfront living—it’s about future-proof waterfront living. UHNW buyers understand this, and their preferences are reshaping the market.