From the Fed to the 305 – What Waller’s Miami Remarks Mean for Interest Rates and Real Estate

From the Fed to the 305: What Waller’s Miami Remarks Mean for Interest Rates and Real Estate

On Thursday, August 28th, the Economic Club of Miami welcomed Federal Reserve Governor Christopher Waller. He delivered one of the strongest signals this year that interest rate cuts may be coming soon. His message — “Let’s get on with it” — suggests the Fed is ready to ease policy.

Waller’s Call for Action

Governor Waller warned that waiting too long to cut rates could leave the Fed “behind the curve.” Inflation is now close to the 2% target, and the job market is showing signs of cooling. As a result, he supports a quarter-point rate cut in September, with the possibility of more to follow.

This message matters not only for Wall Street, but also for Miami.  So, what does this mean for Miami’s real estate market?

Why It Matters for Miami Real Estate

If interest rate cuts arrive, Miami could be one of the biggest winners.

• Lower borrowing costs → Cheaper mortgages make homes more affordable. This could unlock demand in both luxury and mid-market segments.
• More foreign buyers → A weaker dollar makes Miami real estate more attractive to investors from Europe, Latin America, and beyond.
• The wealth effect → When markets rise under easier policy, wealthy buyers often move into real estate. Expect stronger demand for prime addresses in Miami Beach, Brickell, and Coral Gables.
• Supply dynamics → Building costs remain high due to tariffs and material shortages. Even with lower financing costs, limited supply should keep existing home values strong.

The Bigger Picture

Waller’s bold stance is not only about national policy. It also highlights how closely Miami’s fortunes are tied to decisions made in Washington. Interest rate cuts could support growth, attract more global capital, and keep pressure on home values in the city.

What’s Next

All eyes now turn to the September jobs report and the Fed’s meeting that follows. Whether the cut is 25 basis points or more, Miami will feel the ripple effects.

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The Economic Club of Miami brings global leaders like Governor Waller directly to our city. Members gain access to premier events, thought leadership, and unparalleled networking.

Learn more: www.econclubmiami.org