Not necessarily, though current data favors single-family homes. South Florida condo prices fell roughly 8% to 10% over the past year while single-family values rose 3% to 7%. Condos may be near a bottom, yet association costs and insurance keep climbing. Your intent matters most, since a home you will actually enjoy changes the calculation entirely.
The Answer Starts With How You Define Investment
No honest answer arrives without knowing what the buyer actually wants, since the word itself means different things to different people. On the Discover South Florida Podcast, Larry Mastropieri began by rejecting the premise of a universal answer.
"It really depends on how you define investment, because anybody could define what an investment is to them differently."
His response to the question is a request for context instead of a verdict.
"The answer to that question is I need more information from the person who's asking that question."
The first thing he wants to know is what role the property will play.
"What are you doing with this condo? Are you buying it and renting it out, and purely that's what you're doing?"
Is Now the Bottom for South Florida Condos?
Larry refuses to dismiss condos outright, and the timing argument deserves serious consideration. Prices have corrected sharply enough that opportunity may genuinely exist.
"I'm not going to say it's a bad investment. In fact, right now it might be the best investment ever."
The reasoning rests on how far values have already fallen.
"We've seen condo prices decline substantially over the past few years, and we might be at the bottom, and there might be opportunity for good appreciation in the future."
Market data supports that possibility in places. Palm Beach County led the regional recovery through 2026, with condo sales up 6.6% and median prices climbing 4.5%. Inventory there fell from 10.2 months to 7.7 over the same stretch. Industry forecasts project a modest 0.4% decline across South Florida condos in 2026 before turning positive at 1.3% in 2027.
The Case for Caution
Larry pairs that optimism with an equally honest warning, and both halves matter.
"On the other hand, it might continue to decline. We'll see."
The carrying costs represent a risk that never appears in a price chart.
"Costs associated with living in a condo might continue to increase depending on which condo you're in."
Broward County illustrates the pressure clearly, sitting near 12.9 months of condo supply with median prices down roughly 8%. Special assessments exceeding $100,000 per unit have become common in aging high-rises, and a handful of northeastern Miami-Dade buildings have faced figures approaching $400,000.
The Divergence Between Two Markets
South Florida is running two housing markets simultaneously, and blending them into a single average obscures what is really happening. The gap between them has widened into something genuinely unusual.
Single-family homes rose roughly 3% in Miami-Dade and nearly 7% in Broward while condos declined in both counties. Regional single-family supply tightened to about 4.3 months against roughly 10 months for condos. Inventory across the Miami metro dropped 29% year over year on the single-family side alone. Miami houses have appreciated in 167 of the past 168 months, producing a cumulative gain near 145% since 2015.
Buyers comparing options in Broward County face a seller's market for houses and a buyer's market for condos within the same zip codes.
Personal Use Changes the Entire Calculation
The analysis shifts completely once enjoyment enters the picture, and Larry treats that as a separate conversation altogether.
"If you're going to use it, well then that just throws every question out the door. How much are you enjoying it? I can't quantify that."
Returns stop being the only measure when the property serves your life directly.
"That's a personal decision then. It's not for me to decide."
A beachfront condo you visit forty nights a year delivers value no spreadsheet captures. Owners in Palm Beach Gardens and coastal communities frequently accept weaker financial performance in exchange for a lifestyle they genuinely want.
Torn between a condo and a house in Delray Beach, West Palm Beach, or Boca Raton? We model both against your actual goal, including carrying costs most buyers never calculate until year two. Call The Mastropieri Group at (561) 544-7000.
Why One Condo Is Not an Investment Strategy
Larry reserves his sharpest skepticism for buyers treating a single unit as a portfolio, and his objection applies to any property type.
"If it's the only real property asset that you're buying, I question if you should be investing in real estate at all."
The concern centers on scale, since one transaction rarely produces meaningful wealth.
"Doing one real estate deal is not really where you win. It's the hundredth deal that you win on. So you need to make a business out of it."
His question to would-be investors cuts to the point directly.
"I just question why you want to buy one condo."
What South Florida Returns Actually Look Like
Expectations deserve grounding in local reality, and Larry sets them honestly.
"It's very competitive in South Florida. The returns aren't amazing always."
The nature of those returns matters as much as their size.
"It's more appreciation based than short-term cash flow based."
Condo carrying costs make that distinction sharper still. Association fees, assessments, and insurance consume rental income that a single-family investor would keep, which pushes condo returns further toward appreciation alone.
The Alternatives Larry Leans Toward
Investors committed to real estate hear a different recommendation from him, one built around control and expertise.
"If we're talking pure investment, I typically don't lean buy a single condo in a big building. I typically lean buy a multifamily property or buy something else that you have a skill set in."
The skill-set point produces his most practical example.
"Maybe you have a skill set in warehouses because you operate a business that's in a warehouse. Maybe buy a warehouse and move your business into it and stop renting the warehouse you're in."
That structure converts an expense into equity while placing the asset inside a field you already understand. Knowledge of your own industry beats generic advice about any property type.
Owning the Dirt
His conclusion reduces to a phrase worth remembering, and it captures why land behaves differently from airspace.
"I would lean single family home. I would lean owning the dirt over owning a condo unit in a big condo building in most cases."
Land supply cannot expand, while a developer can always add condo units to the same parcel. A house also gives you unilateral control over timing, budget, and every improvement decision. Condo ownership hands all of that to a board along with the right to assess you for their choices.
The Cost Structures Behind Each Choice
- A condo owner pays monthly association fees that rise with insurance and reserve requirements.
- Special assessments arrive on the board's schedule, not yours, and carry no ceiling.
- Reserve funding became mandatory in 2026, which pushed many fees up 20% to 50%.
- A homeowner controls when to replace a roof and how much to spend on it.
- Single-family maintenance costs more in total but arrives on your timeline.
- Land value grows independently of the structure sitting on it.
When Does a Condo Make Better Sense?
Plenty of situations favor a condo, and dismissing the entire category would be as lazy as recommending it universally.
- Seasonal owners who want a property that locks up and requires no yard care.
- Buyers seeking beachfront or downtown locations where houses barely exist.
- Entry-level purchasers priced out of single-family homes in their target area.
- Owners who value amenities they could never afford to build themselves.
- Cash buyers positioned to acquire quality units at today's discounted prices.
- Anyone whose primary goal is enjoyment instead of maximum appreciation.
Cash purchasers hold a particular advantage right now, since financing obstacles never reach them. Nearly 45% of Palm Beach County transactions closed in cash recently, which tells you who is buying while others wait.
Questions to Answer Before You Choose
- Will you occupy this property, rent it, or hold it purely for appreciation?
- Does this purchase represent your entire real estate exposure or one piece of several?
- Can your budget absorb a $50,000 assessment without forcing a sale?
- How do total carrying costs compare between the two options over ten years?
- Does a skill set of yours point toward a different asset class entirely?
- How much is the lifestyle worth to you beyond the financial return?
Market conditions shift continuously, and this page reflects data available in 2026. Your own numbers deserve a fresh analysis before you commit.
Match the Asset to the Goal You Actually Have
Condos and houses answer different questions, and the right choice depends far more on your purpose than on any market forecast. We model both paths against your real goal, weigh the carrying costs buyers routinely underestimate, and tell you honestly when a condo serves you better. Clarity about what you want from the property is what turns a purchase into a good decision. Reach out to The Mastropieri Group, Realtors® at (561) 544-7000 and tell us your goal and your budget, and we will show you which asset fits.