Downtown Miami Condo Inventory Surges 52% – Are We Headed for a Price Correction?

📍 As of June 30, 2025: Inventory Up 52% — And That’s Just the Start

One year ago, I predicted a modest 5% resale rate for Downtown Miami’s pre-construction condo units. But new data paints a much different picture.

As of June 30th, 2025, active condo listings in Downtown Miami are up 52% year-over-year, with 456 active listings in just a 0.4-mile radius—compared to 314 this time last year.

And that number doesn’t even include some of the city’s highest-profile towers, like the Aston Martin Residences.

Let’s unpack what this means—for buyers, sellers, and the entire Miami market.


📊 Inventory Explosion: Beyond Linear Growth

In just 12 months, Downtown Miami saw inventory surge from 314 to 456 active listings within a central 0.4-mile radius.

That’s a 45% jump in localized inventory—but when we account for nearby towers like Aston Martin, which now has 25% of its units listed for resale, the real picture becomes even more dramatic.

This isn’t a typical cycle—it’s a resale wave.


🏗️ Pre-Construction Resale Reality

Let’s zoom in on Natiivo Downtown, which includes:

  • 412 condo units in Natiivo
  • 140 condo-hotel units in Gale Miami (floors 1–23)

That’s 552 total units—and 93 of them are currently listed.

That means 17% of the building is for sale, just months after closings began. And several of these listings still appear to be developer inventory.

For comparison:

  • Aston Martin reached 25% resale within one year
  • Natiivo is at 17% within months

If that trajectory holds, the 3,000+ pre-construction units expected between 2026–2029 could bring 400–600 new resale listings to market.

That’s a potential game-changer in terms of future supply.


🔍 Sales Data & Market Conditions

Let’s anchor this with recent Downtown Miami performance:

Closed Sales (Jan–Jun):

  • 2022: 527
  • 2023: 265
  • 2024: 216
  • 2025: 190

That’s a 64% drop in sales volume from 2022 to 2025.

Price Trends:

  • Avg. price per sqft in H1 2024: $649.77
  • Avg. price per sqft in H1 2025: $679.62
    ➡️ A 4.6% increase

Inventory:

  • ZIPs 33131, 33132, and 33130 now show ~20 months of inventory
  • A healthy market has just 4–6 months

We’re in oversupply territory, with rising prices and shrinking buyer demand. That’s a fragile combination—especially with macroeconomic uncertainty (rates, global tensions, etc.).


⚠️ Why This Combo Matters

Four key dynamics are now at play:

  1. Supply Surge: Resale inventory from new buildings continues to grow.
  2. Demand Decline: Closed sales keep sliding, year after year.
  3. Macroeconomic Pressure: High rates, inflation, and global instability have created caution among buyers.
  4. Pricing Anchors: Sellers still listing based on 2022–2023 comps—out of sync with current demand.

This cocktail suggests leverage is shifting to buyers.


📉 Will Prices Drop? Forecasting What’s Ahead

A price correction feels inevitable, but the depth depends on four key variables:

  • Absorption Rate: Can demand catch up to the new supply?
  • Interest Rates & Inflation: Will they ease, restoring buying confidence?
  • Seller Behavior: Will owners adjust prices, or hold onto inflated expectations?
  • Inventory Duration: Staying above 18 months? That creates downward pressure.

📊 Visualizing the future:

  • 5% dip: If rates improve and absorption stabilizes
  • 10% correction: If sellers adjust gradually under pressure
  • 20% drop: If absorption fails and sellers resist pricing reality

🧠 Strategic Guidance Based on the Data

For Buyers & Investors:

  • Watch resale activity in towers just months post-closing
  • Use $ per sqft, not list price, as your anchor
  • Track months-of-inventory quarterly—it’s the leading indicator

For Sellers:

  • Don’t rely on 2022 comps—buyers aren’t
  • Be realistic and flexible—longer DOM is the new norm
  • Consider pricing tactically: a 3% concession now may save you 3–6 months of carrying costs

For Agents:

  • Master the data: It’s both your objection handler and conversion tool
  • Use the oversupply narrative to position urgency or opportunity—depending on the client

✅ Final Takeaways

  • 📈 Inventory is up 52% in Downtown Miami
  • 🏢 Natiivo/Gale has 17% of units already listed
  • 🔮 400–600 new resales expected over the next 3 years
  • 📉 Sales volume down 64% from 2022
  • 💵 $ per sqft slightly up—but against a saturated backdrop

The Miami market is evolving—and understanding these shifts gives you an edge.


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