Florida's pandemic-era housing boom comes to an end - while some blame DeSantis
One Tampa real estate agent warned that the decline could be being fueled by Florida Governor Ron DeSantis' public war on woke
But the housing boom now appears to be waning, with home values in the Sunshine State flatlining for the first time since 2011
The housing boom that sent Florida's real estate market into a frenzy has finally started to wane, following a pandemic-era spike that saw millions of Americans flock to the Sunshine State.
The last three years saw single-family home prices in Florida climb by almost 50 percent, as blue-state residents raced to land a property down south.
But now, for the first time since 2011, home values have flattened, and fewer home seekers are opting for Florida due to a noticeable decline in affordability.
'The fact that Florida is getting more expensive is making it less attractive to homebuyers,' said Daryl Fairweather, Redfin Corp chief economist, to Bloomberg.
One Tampa real estate agent said while Florida Governor Ron DeSantis' anti-Covid lockdown policies were once attractive, his recently-launched run for the White House and public push against woke politics could be driving clients away.
One of the reasons for Florida's flatlining housing market is soaring mortgage rates and insurance premiums, which has eroded the state's attractive levels of affordability.
For years, would-be residents have been lured south by Florida's lack of a state income tax.
This was coupled by a desire to escape what many saw as over-the-top, woke pandemic rules in many states including mask mandates and business restrictions.
But while locals accepted Florida Governor Ron DeSantis' push to insert the state into national culture wars debates when prices were down, the 2024 hopeful's platform has been noted as a reason behind the recent decline.
Vanessa Charles, a real estate agent in Tampa, told Bloomberg she saw a spike in business during the pandemic, but hostile politics are seeing this dwindle.
'People are looking at Florida differently now,' she said. 'A lot of families who moved here called and said "We have to leave"'.
Florida Gov. Ron DeSantis was noted by one Tampa real estate agent as one of the potential factors behind the state's recent housing decline
So far in 2023, 56 percent more people migrated to Florida than moved out, according to data from United Van Lines. In comparison, this figure stood at 62 percent at the height of the pandemic in 2021.
The covid-fueled housing boom also hit the single-family home value market, which saw a significant spike in recent years due to the significant influx of new residents.
According to data from Florida Realtors, median home prices skyrocketed by 27.7 percent at their peak in May 2021 - but dropped to just 2.1 percent by March 2023.
Insurance premiums have also ballooned in the Sunshine State, as a series of devastating natural disasters alongside high fraud rates have seen home insurance bills hit $6,000 on average - almost four times the US average.
Data from the Insurance Information Institute found the average premium in the state has risen 100 percent over the past three years.
In Miami, which became the most desired destination for New Yorkers as woke pandemic policies drove them from the Big Apple, the decline in affordability has been especially evident.
The influx of new residents has seen the hotspot become the most unaffordable city in the US, according to real estate tracker RealtyHop.
Situated in the exclusive Indian Creek neighborhood, this palatial property in Miami has hit the market for a staggering $85 million
This mansion situated on the lavish North Bay Road near Miami Beach is one of the most expensive on Florida's housing market at $76 million
In nearby Ocean Blvd, a $77 million lakefront estate is also up for sale - and it even comes with a private yacht dock
While out of reach for most, some of the most lavish homes on Miami's housing market show why it has earned a reputation for opulence.
According to Zillow, one of the most expensive mansions on the market is available for a stunning $85 million. Situated in the exclusive Indian Creek neighborhood, the palatial estate has been up for sale for less than a month.
Complete with 14 bathrooms and seven bedrooms, the terraced property is fitted with lavish marble finishes, a home cinema, and several pools.
And while many home seekers are set to be turned away from Florida's housing crisis, another $76 million mansion is still on the market for those feeling flush.
Situated on the prestigious North Bay Road by Miami Beach, the estate has everything a megarich homeowner could ask for.
The seven-bedroom, seven-bathroom estate boasts panoramic views of the coastline, with west-facing vistas offering year-round sunsets.
In nearby Ocean Blvd, a $77 million lakefront estate is also up for sale - and it even comes with a private yacht dock.
The stunning property offers six bedrooms, seven bathrooms, and a gourmet private chef's kitchen with island views.
Source: Daily Mail
