The Florida real estate market is one of the most lucrative markets in the United States. Recently, it has experienced tremendous growth, and for good reason!
Not only that, it is home to many global business headquarters and therefore, is the hottest commercial real estate market in the country.
You may be wondering if the Florida real estate market provides a worthwhile investment opportunity as we move into 2023. Based on the most recent reports from Florida Realtors and Zillow, it appears to be!
Everyone is asking how the real estate market in Florida is doing. Below is a brief overview of the current state of the market and upcoming real estate predictions.
Current Florida Housing Market Statistics
According to Florida Realtors, Florida home sales are steadily rising, and as a result, home values are increasing. On the flip side, inventory is trending downward due to population growth. As a highly sought-after area, home buyers compete for residences, resulting in increased home sale prices. Florida’s median sale price for single-family homes was $420,000, a year-over-year increase of 21.8%.
In South Florida, the median listing home prices and year-over-year growth are as follows.
- Median home sale price: $580,000
- Sale price year-over-year increase: 28.9%
- Typical home value: $552,082
- Home value year-over-year increase: 30.4%
- Median home sale price: $246,376
- Sale price year-over-year increase: 2.78%
- Typical home value: $301,119
- Home value year-over-year increase: 30.6%
- Median home sale price: $625,000
- Sale price year-over-year increase: 25.6%
- Typical home value: $523,599
- Home value year-over-year increase: 29.8%
As for commercial real estate, commercial rents are up 15.3% year-over-year compared to the national average of 8%. The vacancy rate in retail stores is at a low of 3.4% compared to 4.6% overall.
2022 Real Estate Trends
The statistics make it clear that Florida’s real estate market is trending upward at a rapid rate. This begs the question — will real estate prices go down in 2022?
As home prices rapidly increase, many people worry about the possibility of a housing bubble, and ultimately, a housing market crash. According to expert real estate brokers and economists, this isn’t necessarily the case. Increasing housing prices are not a new phenomenon, and while experts predict home prices will continue to increase, they expect growth rates to slow down.
The real estate forecast predicts that national home prices are expected to increase at a rate of 6% by early 2023, with higher growth in the Florida market, around 9.8% in Miami, for example.
As for commercial real estate, Florida is home to the hottest commercial real estate market in the country. It is expected to continue along this trajectory with sales and rental rates well above the national average.
2023 Real Estate Market Predictions
Overall, some of the largest increases in housing prices have taken place within the Florida real estate market, especially in Miami and Tampa. The Florida housing market remains strong and is predicted to continue to be throughout 2023 and beyond.
While growth rates may not be expected to be in the double-digits as they have been lately, both housing and commercial real estate markets are expected to continue to grow.
The overall Florida market appears to be in good shape heading into 2023. This is an excellent time for home buyers and real estate investors to take advantage of the growth.
How the High Cost Real Estate Market is Turning People to Live on Boats
There are many reasons why more people all around the world are deciding to leave their stationery homes on land to live on boats. With the extreme costs taking over the real estate market in some of the world’s most desirable locations, and rent prices soaring everywhere, it’s becoming obvious for those who are retired and those who work from their computers, that it’s more beneficial to turn to water vessels to call home.
What are the Reasons Why Many are Choosing to Live on a Boat?
1. Lower Costs: Those choosing to take on the boat living trend have found that the cost to live on a boat is actually much more affordable than buying or renting a home in the current real estate market. The cost to buy a boat large enough to live on (especially if it is a used boat) and the average liveaboard moorage combined, is typically much less than what it would cost to buy a new home or rent an apartment in highly populated areas and coastal regions.
2. Reduced Utility Bills: Unlike a home on land, living on a boat will save money because the cost for electricity and gas usage will be just a fraction of the typical costs for a dwelling on land. Water on a boat is not as plentiful as the traditional way of living, but many who have turned to on-the-water living have confessed that the less supply of water has not only reduced their water bills, but it has also made them more conscientious about water conservation.
3. Better View: Another top reason is the amazing atmosphere and scenery! This certainly beats on-land waterfront living.
4. Ability to Travel Consistently: No need to pack bags for that spur of the moment trip! When you live on a boat, you have everything you need to go anywhere you want to go and at any time! And with today’s health concerns, you won’t have to rely on questionable hotel rooms along the way.
Where to Buy a Boat to Live On?
If you are considering living on a boat or simply buying a boat for recreational use, Florida Yachts International in Miami has a worldwide inventory of new and used boats for sale. Choose from the largest super yachts to small sport fishing boats. Our team of expert yacht consultants with a combination of over 300 years of experience are standing by and ready to help you find the perfect vessel.