One example is Avara Miami Beach, a 178-unit luxury rental development overlooking Biscayne Bay. Developer Mast Capital said the project was designed to attract affluent renters seeking flexibility rather than long-term ownership commitments.
Jordan Kornberg, chief investment officer at Mast Capital, described the property as a “condo quality product” intended for people who “rent by choice.” Some residents continue to own homes elsewhere while using Miami as a secondary residence. Others have moved away from homeownership entirely to maintain liquidity and avoid expenses associated with condominium ownership, such as HOA fees and special assessments.
Tenant Mark Lynn, a business owner originally from Ireland, said he previously divided his time between Los Angeles and New York before relocating to Miami full time. Instead of purchasing property immediately, he chose to rent while evaluating the market. He told Realtor.com that buying “only makes sense if you’re going to stay in a property for 10-plus years.”
Ana Bozovic, founder of Analytics Miami and Miami Deal Sheet, said many affluent newcomers view renting as a “strategic soft landing.” She noted that professionals arriving from established urban markets often want time to understand South Florida neighborhoods, schools, commuting patterns, and lifestyle considerations before committing significant capital to a purchase.
According to Bozovic, renting also allows new residents to establish Florida residency, preserve liquidity, and adapt to changes in their personal or business needs.
The article also highlighted how tax proposals in New York and existing taxes in Los Angeles are shaping migration patterns among high earners. Proposed measures in New York include a pied-à-terre tax on secondary homes valued at more than $5 million, a reduction in the estate tax exemption, and higher income tax rates for top earners. Meanwhile, Los Angeles continues to face debate over its “mansion tax,” which applies levies to high-value property sales.
Realtor.com economist Jiayi Xu said proposed tax hikes in New York are already contributing to an outflow of high-income residents. Xu added that renting in Miami allows individuals to establish Florida residency and benefit from tax advantages without immediately purchasing property.
The article also addressed insurance and ownership costs affecting the rent-versus-buy decision. Realtor.com research found that Miami has both the highest HOA fees and the highest home insurance premium-to-market-value ratio among U.S. metro areas. Xu said these costs can complicate buyers' financial calculations because they may offset potential tax savings.
At the same time, Bozovic noted that renters may miss future appreciation in luxury real estate markets with limited supply.
Avara Miami Beach currently offers units ranging from junior one-bedroom apartments starting at $3,200 per month to penthouses renting for nearly $14,000 per month. Shared amenities include a bayfront pool, fitness center, outdoor kitchen, and clubroom.
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