Florida’s real estate market is booming. With a healthy economy, an enticing warm climate, and what seems like an absolute resilience to the economic turmoil, investors have been turning to the sunshine state in droves. This high demand, coupled with low housing availability, has sparked the interest of many real estate investors looking for a property market that offers both high rental yield combined with true liquidity.
Over the last 10 years, Southwest Florida’s population has grown by an average of 7%, making it the fourth fastest growing market in the country. This surge in population, along with a shortage of new construction homes, has caused inventory of existing homes to be depleted. This shortage has caused prices of new and existing homes to skyrocket by nearly 28% from 2021–2022.
New and existing home prices are not the only housing impacted by Florida’s exploding market. In the span of just two years, median rent prices increased by over 30% across the state, from about $1,340 in February 2020 to roughly $1,760 in February 2022. Increased rents are pushing residents inland to more affordable locations, resulting in new markets and communities throughout.
According to Forbes magazine, Southwest Florida is “one of the hottest housing markets in all of the nation.”
