The Florida Housing Market Just SHIFTED

The Florida Housing Market is facing some major issues when it comes to the real estate market. Inventory is growing, housing affordability is getting worse and on top of that some sellers are having to sell their homes at a loss due to large HOA assessements. Will this cause the Florida housing market to crash? In this video, we discuss the 3 major problems currently affecting the housing market in florida and how that might affect the real estate market in 2024.

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Jeb Smith (huntington beach Realtor/orange county real estate)
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[edwebb]

They are building like crazy all over Florida. Builders are renting out houses they can’t sale to construction workers from Texas…shadow inventory. The income in Florida is too low for the current housing market. Once construction dries up so do the only half way decent paying jobs. It’s unsustainable, just like in the early in 2000, s. There are 47 houses for sale in my 10 mile drive to work. Some streets have the exact same brand new houses for sale side by side. 5 houses on my street alone 2 of which have been for sale for more than a year. Starting to see more and more existing homes to pop up for sale I think BC of the increase in insurance. A crash is definitely coming in Florida. It’s unsustainable. Not to mention the condos that are in absolutely terrible condition. I have lived her since 89. I have seen it all before.

[sduncan]

As a FL insurance agent, what you said is 100% true. I always feel bad for clients who call a couple weeks before closing just to figure out the insurance for the home is going to be several thousand dollars and their realtor didn’t warn them BEFORE going under contract. Even worse if they’re in a flood zone, because now you’re also required to flood insurance. To everyone reading, NEVER BUY IN A FLOOD ZONE. The sticker shock usually comes worst for out of staters moving here that had no idea. Moreover, over 80 insurance companies have pulled out of FL in the past 2 years, and that’s number is rising. FL is on track to become the next CA. And new builds are terrible construction here. Thanks as always for the great video Jeb!

[FabriceBourgeois]

Thanks Mate, the sad truth is that no one has a clue, we all react to what happens as it happens and try to analyse it but can’t predict an iota of what is going to unfold in the markets… content creators are like amplifiers, when times are good they affirm it and try to tell you why it’s good and that it’s looking bullish but then all of a sudden the market turns bearish and everyone affirms it again and try to analyse why… it’s so sad that many are so powerless and it's not about guessing the market's next move; it's about playing it smart and steady during trading...managed to grow a nest egg of around 2.3Bitcoin to a decent 19Bitcoin in the space of a few months... I'm especially grateful to Linda Wilburn, whose deep expertise and traditional trading acumen have been invaluable in this challenging, ever-evolving financial landscape.

[BrianMVV]

you mentioned Tampa and Jacksonville. Any relevant Data you found on your research in the Orlando Metro Area?

[waitaminute]

Ive been in Florida since 2010. I agree with everything you've said. I will add that wages are lower here than many parts of the country, so that must have an effect on the market. I'd like to see data on who's been buying here, outside of Miami. I'm on the west coast and it feels like its mostly retired mid west?

[SaveManWoman]

40% correction coming near you. 18% increase already in inventory. Last call was called about two weeks ago.

[frederickvalencia]

I am buying a home in FL average 4bed 3 bath 380k 2, 600 square feet. 5 percent interest .... that's the average.. I saw 34 homes in 1 month. I am scheduled to look at 6 more this week. Before deciding. This is North Central FL on New Construction.

[vincenttiene]

In California, Prop 13 caps property tax at 2% increment a year. Therefore, to be fair for these properties' rental rates should also be capped at a certain percentage. In other words, rent control.

[LandaverdeJR]

todays content Jeb it’s a cash cow 🐮 Michael bordenaro is killing it.

[psfraser]

The constant flow of seniors that florida has always relied on are choosing more affordable places to retire, and we are facing what is expected to be the worst hurricane seasons in history. People who recently bought are already 10-20% underwater because homes are just sitting with no buyers.

[Jennifer-ulvz]

Home ownership is off the table for me. Homes have gone up over 100, 000 in my area. Apartments being built right now are starting at 350, 000.

[profitmix]

We are reliving 2007 and to think banks are lending out loans for $600k homes to people with multiple jobs. It’s actually really sad what’s going on. I moved to FL in 2010 purchased two homes but never at the price they want now and in locations I would never moved too.

[rebeccawinters]

Hi. REALTOR®️ in Jacksonville, Florida here. I can tell you certain areas, the inventory is higher than normal, but there are a lot of lipstick on pig homes where the investors come in and do a crappy flip job. These homes are just sitting. Buyers are savvy in this market in my opinion and know better to get involved with a flip has not done well. We also have a lot of new builds popping up in area such as St Augustine/St. Johns county and the northside that has added to our inventory.
I do agree with you about the condo and insurance concerns, however.

[shouse]

Fact, each year my insurance has almost doubled in last three years, no claims....sorry but the average income does not, unless you wish to be house poor, does not match home prices.

[AdrienePessel]

Real Estate is always local, some areas will see fallen prices and some areas will not

[MelanieLovesTampaBay]

Sounds like it’s time for another collaboration!

[pablod]

Beach front apartment for $450.000k … is rented for $3k right now … I don’t know if I should buy it or not, are prices going up ? Down ? I heard the HOA will triple in the next couple years. I’m really lost ! I want to buy it to use it twice a year for myself for few weeks and rent it the rest of the time.
I live in the Bay Area California now.

[jeffreykiesnoski]

Simple, google the 100 year CPI index vs the Case Schiller Housing Index from 2002 to 2024. 02 to 08 the CSHI got overheated and crashed down to 2013(where homes are properly valued) now look how far away the CSHI got away from the 100 year CPI index. The worst part is, interest rates are not going down. Many, many people moved to Florida and saw a quick double in their home prices and decided to be a RE guru and took out adjustable rate loan to by more homes to rent out. These home are all NEGATIVE equity. the adjustable rate loan payments are so high the rent they are receiving does not cover the payments. Take in the massive rise in taxes and insurance, there is a tsunami headed to Florida, especially south east Florida. Couples with the fact the many of the high rises that are 30 years old with fixed income owners, starting 2025 all of these condos have to sure up their reserve accounts by law (triple and quadruple HOA's which fixed income owners cannot afford) Greed got Florida bad and it takes a few to have to foreclose out or sell at deep discounts which can reset areas prices down fast. give it 2 to 3 years and you will have a buyers paradise. JMHO!

[Mako_]

Ive been living in FL for 5 yrs now, and unfortunately will have to find a job out of state. The state is nearing its breaking point.

House prices are still 30-40% inflated (average house price is 350k for a mediocre house from the 70's) and even if you can afford that, you probably wont be able to afford the insurance. You'll also be paying 2-3k a year in car insurance even if you have 0 accidents to your name.

Florida is a ticking time bomb, and i will not be here when shit hits the fan.

[Kl]

If greedy flipers and sellers would stop trying to get the highest price ever heard of an took reasonable offers then I would move back to my hometown of Jacksonville with cash offer. These flippers who cover up the pig with lipstick and expect all time high prices driving up insurance and tax values and making it unaffordable !