Market trends, home prices and relocation advice from real estate experts
The demand for Florida real estate has been very strong over the past few years, but now in mid July of 2024 the Florida market is undergoing a healthy rebalancing with the higher interest rates and a greater number of homes now spending more days on the market. As the median price of a Florida home just achieved another all-time high in April, combined with lingering 7% mortgage rates and rising home insurance costs, some buyers are now becoming more challenged with overall home affordability.
At the end of May 2024, the median single family Florida home price was $427K and this represents a 2% year-over-year price increase. To view a breakdown of median home prices for each of Florida's city regions, be sure to visit our how expensive is it to live in Florida page where we also overview the cost of living in Florida as compared to other states.
Median Prices of Florida Real Estate
Type
May 2024
May 2023
% Change
Single Family Homes
$427K
$420K
+ 2%
Condos/Townhomes
$330K
$325K
+ 2%
Months of Inventory
4.4
2.7
+ 63%
Source: Florida Realtors, June 2024
With so many people moving to Florida in recent years, this has caused housing prices to rise significantly in a relatively short period of time. This strong demand has also caused the amount of homes for sale, often referred to as available inventory, to remain somewhat low at a 4.4 month supply (a 6 month supply is considered a normal, balanced market). Additionally, as the majority of Florida homeowners have a mortgage rate well under the current 7% rate, many are choosing to remain in their current home with their low monthly payment, versus moving and taking on a higher payment. In today's Florida real estate market, correctly priced homes are continuing to sell fairly quick after hitting the market and for homes in choice neighborhoods with good schools and preferred location, some multiple-offer situations are still occurring, but at a much lesser pace than was during the market peak.
Florida's new home construction market is also experiencing a pullback in consumer demand with the now higher rates. As such, some national home builders are now offering buyers, who opt to use their in-house lenders, a more attractive rate as well as credits to buyers to help buy down their rate. In terms of the build time for new Florida homes, wait times are running roughly 9 -12 months, versus the more typical 7 - 9 months build time (from initial contract to close) as construction labor shortages are now causing delays for home builders in various metropolitan markets around the state. While many who are relocating to Florida are eager to escape the cold weather or to start their retirement years as Floridians, and not necessarily wanting to wait this extended length of time for a home to be built, many are opting for recently-built homes in the resale market and will often pay full ask price (or slightly above) to secure a deal.
Florida Median Home Price vs Inventory
Plotted values are single family homes, past 12 months
The median Florida home price in May of 2024 has pulled back slightly to $427K, just under its all-time high. Inventory levels have also increased slightly to a 4.4 month supply, its highest level in over a year.
Source: Florida Realtors, June 2024
If you're considering moving to Florida and doing your initial research online, we encourage you to read the comments below by our real estate experts as they discuss their outlook for Florida home prices in latter 2024, market trends taking place as well as helpful relocation advice.