Miami small multifamily cap rates
Miami-Dade County · Updated September 2026
Current range
5.50% – 6.75%
In Edgewater, Wynwood, Little Havana and similar areas, check the land value before relying on the cap rate.
Typical expenses
38%
of collected income, paid by the owner
What moves a small multifamily property within the range
- Buyer pool. Duplexes to nine-unit buildings sell to local investors and owner-users, not funds.
- Land value. Older small buildings on land zoned for more are often worth more as a development site.
- Condition and rent upside. Many of these buildings carry rents well below market.
- Location and age. Core neighborhoods trade about 0.25% tighter, outer markets about 0.50% wider, and buildings from before 1980 about 0.25% wider.
What a quarter point is worth
Take a small multifamily property with $500,000 of net operating income. At today’s range, every 0.25% change in cap rate moves its value by about $320,128.
| Cap rate | Value at $500,000 NOI |
|---|---|
| 5.25% | $9,523,810 |
| 5.50% | $9,090,909 |
| 6.13% | $8,156,607 |
| 6.75% | $7,407,407 |
| 7.00% | $7,142,857 |
Questions
What is a good cap rate for small multifamily in Miami?
Stabilized small multifamily properties in Miami-Dade are trading at 5.50% to 6.75%. A lower cap rate means a higher price for the same income. Whether a given cap rate is good depends on whether you are buying or selling.
How do I calculate the value of a small multifamily property?
Divide the net operating income by the cap rate. A property netting $500,000 a year at a 6.13% cap rate is worth about $8,163,265.
What expenses come out of net operating income?
Property taxes, insurance, repairs, management, utilities the owner pays and reserves. Not the mortgage. For small multifamily, owner-paid expenses typically run about 38% of collected income.
Other property types: Multifamily (10+ units) · Retail / strip center · Single-tenant net lease · Office · Medical office · Industrial / warehouse · Mixed use · Self storage · Hotel / motel · Auto service / gas. Land values by neighborhood: see the table.
What is your small multifamily property worth?
Enter your address and we pull the county record. Add your rent and expenses and you will see your cap rate and value range against today's small multifamily market. It is free.
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