The Florida Real Estate Market Outlook For 2024
Market trends, home prices and relocation advice from real estate experts
The demand for Florida real estate has been exceedingly strong over the past few years, but now in late November of 2023 the Florida market is undergoing a healthy rebalancing with the higher interest rates and increased cost of borrowing. As Florida’s home prices are still hovering near all-time highs, combined with higher rates and rising home insurance costs, some buyers are now becoming more challenged with overall home affordability.At the end of October 2023, the median single family Florida home price was $410K 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 | Oct 2023 | Oct 2022 | % Change |
---|---|---|---|
Single Family Homes | $410K | $402K | + 2% |
Condos/Townhomes | $322K | $310K | + 4% |
Months of Inventory | 3.5 | 2.7 | + 30% |
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 can now be 12+ months in some cases, 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 a premium above ask price to secure a deal.
Florida Median Home Price vs Inventory
Plotted values are single family homes, past 12 monthsAfter many interest rates hikes over the past 18 months, we are now seeing where the inventory of single family homes (measured in months) has risen to its highest level in over a year, but still remains at a low level. At the end of October 2023, the median Florida home price has increased slightly to $410K.