📊
What's a Good Cap Rate in Miami in 2026? (Neighborhood-by-Neighborhood Breakdown)
2026-03-29 · 9 min read
What Is Cap Rate?
Cap Rate = Net Operating Income (NOI) ÷ Property Value × 100
NOI = Annual Rent − Annual Operating Expenses (taxes, insurance, maintenance, vacancy, management)
A 6% cap rate means if you paid all cash, you'd earn a 6% annual return before financing costs.
Miami Cap Rates by Neighborhood (2026)
| Neighborhood | Median Price | Avg Cap Rate |
|---|---|---|
| Little Havana | $380K–$480K | 5.5–7.0% |
| Hialeah | $340K–$440K | 5.8–7.5% |
| Miami Gardens | $320K–$420K | 6.0–8.0% |
| Brickell | $600K–$1.2M | 3.5–4.5% |
| Coral Gables | $700K–$1.5M+ | 3.0–4.0% |
| Kendall | $420K–$580K | 4.5–6.0% |
Type the address at SpillDeals to get the exact cap rate for any specific property.
Why 'Good' Cap Rate Depends on Your Strategy
For cash flow: Target 6%+. Little Havana, Hialeah, and Miami Gardens deliver.
For appreciation: Brickell/Wynwood cap rates look terrible but investors who bought in 2018 tripled their equity.
With DSCR financing: You generally need a cap rate at or above your interest rate to break even on cash flow.