WRE News: Miami Tops Global List for Housing Bubble Risk, UBS Report Warns

Miami, FL – October 5, 2024 – Miami faces the biggest housing bubble risk in the world — According to a UBS report, Miami’s housing market has been labeled as the most overvalued globally, driven by a surge in prices since the pandemic.

The city’s property prices have climbed nearly 50% since 2019, even with recent cooling due to rising mortgage rates. This price growth has outpaced both income and rental growth, creating significant market imbalances. With a growing supply of homes for sale, rising insurance costs, and concerns about sea-level rise, experts question the sustainability of Miami’s high price levels.

While other cities like Tokyo and Zurich also show high bubble risks, Miami’s position stands out as the most precarious. The report highlights that housing bubble risks are decreasing overall, but in the U.S., risks have risen, with Miami leading the charge.