Cost of Living in Miami - SmartAsset

The population in the 2010s in Miami grew quite substantially, over 15% from the begging of the decade, and there are more than 6.2 million in the area today. If you’re moving to Miami, you should have a good idea of whether you can afford to relocate to the Sunshine State’s most beguiling city. Housing costs in Miami are a bit high for both renters and homebuyers, but taxes are low. We also go over the costs of utilities, food and more. When preparing for a big move, consider getting your finances in order by working with a financial advisor.

Miami Home Prices

Miami was hit hard by the financial crisis in 2008. The city is still dealing with relatively high rates of foreclosure, as data from RealtyTrac.com shows a 0.07% units by area foreclosure rate in the city. In comparison, the U.S. average is 0.04%. Despite this, Miami homes are generally more expensive than in other Florida cities.

According to Redfin, the median home sale price in the Miami metro area is $530,000, up more than 24% from one year ago. Jacksonville and Orlando, on the other hand, are around $100,000 cheaper at $313,928 and $362,000, respectively. These prices, along with the fact that Miami is home to many young people, have contributed to the city’s low homeownership rate.

Renting in Miami

Rent in Miami is a little on the pricey side, with the average rent price being $2,307. According to Apartment List’s report, the current median rent for a one-bedroom in Miami is $1,645. Two-bedroom places are renting for around $2,180. Rent has climbed quite substantially over the past few years, as it has across the country. Miami is a premium place to live for many industries so it will likely have a premium to pay over other cities.

Miami Utilities

The utility costs in Miami are fairly low. The average monthly utility bill for an apartment here is $128.11. That’s quite a bit cheaper than the national average ($290.79). This estimation includes a basic package of garbage, electricity, heating and water. When you buy a larger home, the savings can become pretty significant every month.

Groceries and Dining Out in Miami

In Miami, an average daily food expenditure can be expected to be around $33 per person, or $990 a month. This is if you’re eating out for every meal, such as if you travel to the town. However, that also makes Miami’s grocery scene on the high costs side, which is estimated to be $14.46 per day and $448.34 per month.

Florida is the citrus capital of the U.S. A pound of oranges goes for $1.46 in Miami, which is right around the U.S. average. Apples, on the other hand, are much more expensive, as a pound of apples in Miami is $2.36, or 38 cents above the national average.

Florida and Miami Taxes

Florida is generally a low-tax state, which is part of why it’s such a popular destination for retirees. There are no state income taxes whatsoever here. That means that if you retire here, your Social Security, pension income and other forms of payouts will not be taxed.

Miami residents pay a 7% sales tax. This is divided between a 6% statewide sales tax and a 1% sales tax instituted by Miami-Dade County. Residents of Miami-Dade County pay an average effective property tax rate of 1.02%. This is a slightly higher rate than the Florida average but has slightly decreased in recent years.

Healthcare Costs in Miami

According to the Health Care Cost Institute’s report, healthcare prices in Miami are a bit more expensive than the U.S. median. To be specific, the Miami metro area comes in at 6% higher than the national mark. This doesn’t appear to only be the case in Miami, though. For example, the Tampa and Port St. Lucie metro areas are each 7% above the U.S. median. The entire state of Florida is historically ranked in the bottom 10 of quality to cost of care in multiple studies.

Miscellaneous Cost of Living Facts

The average price of a ticket to see the Miami Dolphins in 2022 is $222. Basketball fans can check out the Miami Heat for an average of $72 a ticket. Miami also boasts a baseball team called the Miami Marlins. You can catch some Marlins ball at their 37,000-seat stadium, complete with a retractable roof. According to Statista.com (2018), Marlins tickets carry an average price of $128.

Miami also boasts an impressive art scene. The Miami Design Preservation League offers walking tours of the city’s Art Deco architecture for $30. Admission to the Pérez Art Museum Miami will cost you $16. Want to spend a day at Miami’s famous Art Basel? You’ll pay $50, or $75 for combined entry to both Art Basel and Design Miami.

No tour of Miami’s cultural spots would be complete without a visit to Calle Ocho, traditionally the hub of Cuban and Cuban-American culture in Miami. One of the most famous gathering places on Calle Ocho is Versailles Restaurant, where one of their unmissable cortaditos (an espresso shot with a little steamed milk) will cost you just $1.85. There’s even a to-go window for coffee so you don’t have to tear your eyes away from the lively street scene.

The Bottom Line

If you’re planning a big move to the Miami area then there are plenty of things for you to research and be aware of prior to taking the plunge. As you can see, Miami can be an expensive city for things like housing but it’s tough to beat the beach combined with the low taxes. Many looking for a party town or a place not too far from the beach move to Miami thanks to the fact that there is no state income tax.

Next Steps for Your Move to Miami

If you’re nervous about the financial implications that come along with a major move, it might be worth consulting with a financial advisor. These professionals can also help you keep your long-term financial plans in mind. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
You can also check out SmartAsset’s list of Miami’s top 10 financial advisor firms.
When you move to a new city, you may want to open an account with a local bank that has branches nearby. Here are a few suggestions to get you started: Seaside National Bank & Trust, FineMark National Bank & Trust, BAC Florida Bank, First Federal Bank of Florida and Professional Bank.