Still Hunter, Managing Director, Walker & Dunlop

Invest: sat down with Still Hunter, managing director of Walker & Dunlop, to discuss how multifamily deal activity is rebounding in South Florida, where investors are finding opportunity amid shifting fundamentals, and why product type and submarket selection matter more than ever. “Right now feels like a strong point to re-enter the market,” Hunter said.

How have multifamily investment and sales trends evolved in South Florida over the past few years, and what makes this market unique?

We’ve seen a big shift in transaction activity over the last couple of years. In 2025, we saw a huge pickup in deal volume. At Walker & Dunlop, our team focuses on selling multifamily assets across South Florida in the tri-county area, generally institutional-quality properties.

When I talk about the market, I’m referring specifically to 1980s vintage and newer multifamily transactions of $50 million and larger. In 2024, total volume was about $2.6 billion. In 2025, we haven’t completed the final tally yet, but we expect the market to land around $4.2 billion. That’s roughly a 62% increase in dollar volume year over year.

That’s meaningful because it puts us back closer to the historic run rate of around $5 billion a year, after the peak of roughly $10 billion in 2021 and 2022.

What’s also notable is that values have been pretty steady from 2024 – 2025. Cap rates across strategies range from 4.5% to 5.5% and average around 5%. Volume is increasing, values have remained stable, and as we move into 2026, we expect the increased transaction activity to provide more clarity and confidence for investors. That should support a further uptick in deal volume and some value appreciation.

What trends are driving investor interest and confidence in Miami-Dade County?

Investors are focused on properties in locations where there is not a major supply overhang. Over the last decade, there has been a substantial amount of new multifamily rental inventory added across Miami and the broader tri-county area. In some submarkets, there is now a noticeable supply overhang, while other submarkets have seen less new supply.

In many cases, the areas with less new inventory are suburban submarkets in Miami-Dade, where it can be harder to add supply. Much of the redevelopment and new construction has been concentrated along the downtown corridor from Midtown down to Brickell. Investors want to be in locations without heavy supply pressure, which often means suburban submarkets.

Beyond supply dynamics, investors are also gravitating toward properties with more attainable rents. Rents moved significantly over the last three to five years, raising affordability concerns. As a result, investors want high-quality product in good locations, but not necessarily at the top of the rent spectrum. That often leads them toward lower-density product, such as garden-style or mid-rise communities, rather than high-rise, largely because rents are typically lower and affordability is better.

What are the strongest opportunities and challenges for investors and developers in South Florida’s multifamily sector?

Right now feels like an attractive entry point into the market. We’ve seen a significant correction in values from the 2022 peak, when the average cap rate was about 3.35%. Today, cap rates have expanded to 5% on average, ranging from 4.5% to 5.5%, depending on asset quality, location, and strategy. For the quality of real estate we’re discussing, that’s the highest I’ve seen in my career.

The opportunity is to find deals that make sense today, acquire them, and benefit from appreciation going forward as fundamental strengthening and capital flows into multifamily rebound.

The biggest challenge is always finding the right deal and sellers who are prepared to meet the market. Some owners are not willing to transact in that 4.5% – 5.5% cap range, so sourcing those opportunities can still be difficult. For developers, a big challenge is finding sites suitable for new development in the locations investors favor most, particularly areas with limited supply pressure. 

There’s a feasibility challenge as well: rents have softened pretty significantly over the past couple of years, while construction costs have continued to rise. That makes it harder for new development deals to pencil. These challenges will limit supply and ultimately fuel future rent growth, rewarding those making acquisitions today. 

How is Walker & Dunlop tailoring its sales strategy to match what South Florida buyers and sellers want?

To the extent we can influence the inventory we are awarded and take to market, we focus on securing product that aligns with investor demand. Today, that tends to be lower-density product, and we’ve had great recent success selling newer vintage garden communities.

These communities often include features that make them a viable alternative to homeownership, such as larger units, direct-access garages, and lower-density sites. In many locations, homeownership has become unattainable for most South Florida residents when you factor in mortgage costs, insurance, real estate taxes, and overall ownership expenses.  As a result, properties that offer large apartment homes, private garages, and other features typically associated with a home, but in a rental format, have seen strong demand and are performing well. They attract significant investor interest, and we’ve seen real momentum in that segment.

Which types of multifamily assets are attracting the most interest in Miami and neighboring markets?

Since the rate-hiking cycle began in 2022 and transaction volume declined, we’ve seen a renewed focus on quality as activity has returned. You can think of it as a flight to quality, where the best assets in the best locations are drawing the strongest demand.

High-quality properties that show resiliency in leasing, consistency in income and operating performance, and limited need for concessions are getting intense investor interest. Those assets can trade as low as around a 4.25% cap rate. When you consider the market average is closer to 5%, that reflects the premium investors will pay for quality.

On the other end of the range, older assets with operational weaknesses may trade closer to 5.5% caps. Overall, as a general theme, capital sources are gravitating toward well-located, high-quality assets across strategies.

How has the South Florida multifamily market responded to broader economic and interest rate trends?

Higher rates have influenced the market in a couple of important ways. First, higher mortgage rates increase the cost of homeownership, which can push demand toward renting. Renting becomes a more realistic option for individuals or families who may otherwise have been homebuyers.

You can see developers catering to this in the product being built. In high-end product, finish levels and amenity packages have continued to rise to meet the demands of a more affluent renter. In some cases, even tower developments are delivering larger unit sizes, particularly in ultra-luxury projects, to provide an alternative to homeownership in a higher-rate environment. When you start to compare the cost of renting to the cost of owning in some of these prime locations, the value proposition offered by luxury rentals is clear. 

We’re also seeing growth on the attainable side of the market through Live Local. More developers are pursuing approvals through Live Local and building housing restricted to 120% of AMI, taking advantage of those incentives. Historically, you had low-income housing tax credit deals and luxury multifamily. Now we’re seeing development targeting the missing middle, alongside continued growth in the ultra-luxury segment.

Looking ahead, what trends or shifts do you expect will have the strongest impact on South Florida’s real estate landscape over the next several years?

I think we’re going to see a continuation of wealth migration into South Florida. Miami has become increasingly attractive relative to other markets because of the business-friendly environment, reflected by a wave of high-profile corporate relocations, and companies bringing payroll and employment growth into the region.

If you look at Miami-Dade’s median household income growth from 2019 to 2024, median household income grew about 40%, which is a remarkable number. It becomes self-perpetuating: as more industry leaders relocate and move companies here, their competitors and contemporaries often follow.

That dynamic is contributing to growing affluence, a stronger job base, and the broader maturation of Miami. We’re seeing Miami evolve into a true global gateway city, positioned to become a financial powerhouse and one of the most important financial centers in the world.