Fewer Foreigners Bought South Florida Homes in 2024

Introduction to the Trend

South Florida real estate isn’t beckoning foreign buyers like it once did. The share of residential real estate purchases by foreign buyers in South Florida plunged to 10% during the 2024 fiscal year, the lowest level in a decade and a dramatic decline from 50% in 2018, according to a Miami Association of Realtors report.

Factors Contributing to the Decline

The findings were based on responses of nearly 2,400 real estate agents in Broward, Palm Beach, Miami-Dade, and Martin counties to an online survey sent to about 60,000 members. The survey measured purchases from August 2023 to July 2024. Bonnie Heatzig, South Florida-based executive director of luxury sales at Compass Real Estate, attributed the decline to a number of factors, including global uncertainty, currency pressures, and new condo regulations imposed in response to the collapse of Champlain Towers South in 2021.

Impact of Rising Prices and Interest Rates

In addition, rising prices, interest rates, and demand for South Florida real estate since the Covid-19 pandemic likely kept foreign buyers out of the game, she said. “In some cases, (rising prices in) Miami may have priced out segments of the international market, narrowing the pool to ultra-high-net-worth buyers,” she said.

Definition of International Buyers

International buyers were defined in the survey as non-U.S. citizens whose primary residence is abroad, or a non-U.S. citizen who has lived in the U.S. for less than two years at the time of the transaction. Non-U.S. citizens who have lived in the U.S. for more than two years were not counted as foreign buyers.

Regional Breakdown of Foreign Buyers

The survey found that nearly 60% of foreign buyers of South Florida properties came from Latin America. A majority of the home sales in South Florida — 59% — involved condominiums, compared to 39% in Florida and 23% nationwide. Seventy-six percent of homes purchased by foreign buyers in South Florida were used as rental or vacation homes, compared to 45% nationwide.

Countries of Origin

Argentina headed the list of countries of origin among South Florida purchasers — 18% of foreign buyers were from that nation, followed by Colombia (14%), Canada (8%), Brazil (6%), Mexico (6%), and Venezuela (5%). Argentina was also the top source of foreign buyers (21%) in Miami-Dade County. Twenty-two percent of Broward buyers were from Colombia, while Canada buyers accounted for 25% of foreign buyers in Palm Beach County, the survey found.

Historical Context and Market Value

Previous surveys marked a steady decrease in the share of foreign dollars that purchased homes in South Florida since reaching a 50% peak in 2018. From there, the share dropped to 38% in 2019, 32% in 2020, and 14% in 2021 before rebounding to 18% by 2023. The dollar value of international purchases in the four counties was estimated at $2.98 billion during the survey period, with $2.3 billion of those buys occurring in Miami-Dade County. Broward County was next with $584 million of foreign transactions, followed by Palm Beach County at $94 million and Martin County at $5 million.

Florida’s Position in the U.S. Market

Florida was also the top U.S. destination for international buyers for the 16th consecutive year in 2024, garnering 20% of total foreign buyer purchases. The state’s share has dipped below 20% only once since 2009.

Expert Insights

A New York Times story about the survey quoted Peter Zalewski, a Miami-based independent condo analyst, as voicing concerns that President Trump’s immigration and tariff policies could hamper future foreign demand. But Heatzig did not share those concerns. She told the South Florida Sun Sentinel that the decline is a “short-term dip, not a shift in long-term demand. “While it’s true that some global factors, like currency shifts and political rhetoric, have made certain buyers more cautious, they haven’t erased Miami’s appeal,” Heatzig said. “We’re still talking about a city with world-class amenities, wealth preservation potential, and a lifestyle that resonates across cultures. Sophisticated investors look beyond short-term politics—they focus on where their money will be safe and grow. And that’s still Miami.”

Conclusion

The decline in foreign buyers in the South Florida real estate market is attributed to a combination of global uncertainty, currency pressures, and local regulatory changes. Despite this decline, experts believe that Miami’s appeal as a destination for international investors remains strong, with its world-class amenities and potential for wealth preservation. The market’s ability to attract ultra-high-net-worth buyers suggests a shift rather than a disappearance of foreign interest.

FAQs

• Q: What was the percentage of foreign buyers in the South Florida real estate market in 2024?
  A: The share of residential real estate purchases by foreign buyers in South Florida plunged to 10% during the 2024 fiscal year.
• Q: What factors contributed to the decline in foreign buyers?
  A: Global uncertainty, currency pressures, new condo regulations, rising prices, and interest rates were among the factors.
• Q: Which region accounted for the majority of foreign buyers in South Florida?
  A: Nearly 60% of foreign buyers of South Florida properties came from Latin America.
• Q: What was the estimated dollar value of international purchases in the four counties during the survey period?
  A: The dollar value of international purchases was estimated at $2.98 billion.
• Q: Is the decline in foreign buyers seen as a long-term trend?
  A: Experts believe it is a short-term dip rather than a shift in long-term demand, citing Miami’s enduring appeal to sophisticated investors.