Our industry specialist has reviewed and approved the final article. Also, some of the data presented here have been integrated into the Florida real estate spreadsheet template.
Thinking of buying in Florida? Get our financial spreadsheet tailored to this specific market.
Why is Florida such a hotspot for real estate investment in 2025? What makes it stand out from other states?
Whether you're eyeing rental properties or long-term appreciation, the Sunshine State offers plenty of opportunities to grow your wealth.
Let’s look at some solid and recent data.
This article gives you valuable insights, but remember, it’s not and will never be investment advice. We pull data from a range of sources to provide you with the most accurate picture possible, yet we can’t guarantee complete accuracy. Markets are difficult to predict. Make sure to do your own research and consult a professional before making any financial moves. Any risks or losses are your own responsibility.
1) Home price in Florida is projected to rise by ... 9.7% in 2025!
The median single-family sales price in Florida is projected to rise by 9.7% in 2025, with an overall increase of 6.5%.
This growth indicates a healthy market and strong investment potential, driven by population growth and economic stability.
Southeast Florida is expected to see a 6% increase, with median prices reaching $643,000.
Miami-Dade County shows resilience with a 3.2% sales increase through August 2024.
These trends suggest a balanced market, reducing the risk of sudden declines and ensuring steady property value appreciation.
Florida's economic resilience and population growth create a low-risk environment for investors, supported by high rental yields and strong occupancy rates, making it an attractive real estate investment destination.
Sources: Norada Real Estate, Global Florida Realty, Miami Association of Realtors, Miami Realtors
- Why is Florida one of the best Airbnb markets to invest in for 2025?
2) The gross rental yield for three-bedroom properties in Florida is expected to reach 7.55% in 2024
The anticipated average annual gross rental yield for three-bedroom properties in Florida is expected to reach 7.55% in 2024, indicating strong profitability for real estate investors.
Indian River and Collier counties report yields of 7.1% and 6.9%, highlighting promising investment areas.
These figures underscore Florida's competitive rental market, suggesting healthy returns.
With attractive yields and a growing population, Florida remains a prime location for real estate investment in 2025.
Sources: Florida Realtors, ATTOM
- Why is 2025 the ideal time to buy property in Florida?
3) Florida's single-family rental properties have a very high (94.5%) occupancy rate
Florida's single-family rental properties show a 94.5% occupancy rate, indicating strong demand and minimal vacancies.
This robust rate suggests steady rental income and reduced vacancy risks for investors.
Florida's real estate market is attractive due to its growing population, retirement appeal, and thriving job market, which drive rental demand.
These factors create a favorable investment environment with potential property appreciation and reliable income.
Florida's strong rental market and economic resilience make it a strategic investment opportunity for 2025.
Sources: iPropertyManagement, Arbor
- No, housing prices won't drop in Miami in 2025 (12 stats)
4) Florida saw a 5% rise in construction permits, showing confidence in its housing market
In 2024, Florida experienced a 5% rise in residential construction permits, indicating growing confidence in its housing market.
This increase suggests more people are moving to Florida for its climate, job market, and lifestyle, leading to potential property value appreciation and investment appeal.
The construction boom also boosts employment and economic growth, enhancing Florida's attractiveness.
With these factors, Florida is set to be a prime real estate investment spot in 2025, offering a promising landscape for investors due to its demand, economic vitality, and favorable climate.
Thinking of buying in Florida?
We have real estate spreadsheets fully tailored to this market. Get them now.
5) Florida's 0.83% property tax rate, below the national average, is a good thing for property investors
Florida's property tax rate is 0.83%, below the national average of 1.11%, making it attractive for real estate investment.
This lower rate reduces ownership costs and increases net income, enhancing rental property profitability and ROI.
The favorable tax environment boosts property demand, potentially raising values and benefiting investors through appreciation.
Overall, Florida's tax rate offers a compelling reason to invest in its real estate market.
Sources: The Fool, U.S. Census Bureau
6) Florida's median rent is $416 above the national median, making it a lucrative investment opportunity
Florida's median rent is $416 above the national median, indicating strong rental income potential and an attractive market for real estate investors.
This significant price gap suggests higher returns for property owners.
The state's rental market is both lucrative and stable, with new apartments and steady housing demand balancing supply and demand, reducing vacancy risks.
Florida remains desirable for residents and investors, offering promising real estate opportunities in 2025.
The combination of high rental income potential and market stability makes it an ideal environment for maximizing returns.
Sources: Zillow, New York Post
- Why Florida is definitely be a real estate buyer market in 2025
7) 67% of international buyers in Florida's real estate market pay all-cash
67% of international buyers in Florida's real estate market pay all-cash, contributing to a $7.1 billion international buyer volume.
The Miami-Ft. Lauderdale area attracts 49% of these buyers, drawn by its lifestyle, economic opportunities, and strategic location.
Investors from Canada, Brazil, and Argentina are particularly active, attracted by Florida's climate and promising real estate market.
These statistics highlight Florida as a prime real estate investment location in 2025, with stable and attractive opportunities for growth and profitability.
Sources: Florida Realtors, NAR
8) Florida's employment grew by 2.7% in 2024
Florida's employment grew by 2.7% in 2024, surpassing the national average and boosting the real estate market.
In 2025, a 2.4% employment growth is expected, adding about 80,000 jobs.
The unemployment rate is a low 3.3%, attracting residents from high-cost states seeking affordable living and job opportunities.
This influx increases housing demand, making Florida a prime real estate investment location.
The combination of job growth and low unemployment creates a stable economic environment, offering lucrative opportunities for investors.
Sources: U.S. Bureau of Labor Statistics, Miami Realtors, Global Florida Realty
9) Florida's Housing Affordability Index was 125, indicating affordable homes
In 2024, Florida's Housing Affordability Index (HAI) was 125, indicating that median-income families can afford a median-priced home with a financial cushion.
This high HAI suggests homes are affordable, promising for homebuyers and investors.
It implies room for price appreciation while maintaining demand, creating a stable market where property values can rise without excluding buyers.
Florida's high HAI in 2025 signals affordability and a robust market with growth potential, making it an attractive choice for real estate investment.
Sources: National Association of REALTORS®, Federal Reserve Bank of St. Louis
10) Florida's real GDP grew by 21.9% since 2019, nearly double the national rate
Florida's real GDP grew by 21.9% from Q1 2019 to Q1 2024, nearly double the national rate of 11.1%.
This rapid growth suggests increased job opportunities, higher wages, and more residents, boosting housing demand and potentially raising property values and rental income.
Consequently, Florida's strong economic performance makes it an attractive real estate investment destination in 2025, offering promising returns.
Source: Florida Governor's Office
- Here’s what 27 experts are saying about the U.S. housing market in 2025
11) In 2024, Florida welcomed over 170 million visitors, creating lucrative opportunities in short-term rental real estate
In 2024, Florida welcomed over 170 million visitors, marking a significant increase and boosting the state's economy.
This surge fuels demand for short-term rentals, presenting lucrative opportunities for real estate investors.
The influx supports the hospitality sector and stimulates local businesses, enhancing the economic landscape.
As tourists flock to Florida's attractions, the demand for rental properties rises, indicating that investing in Florida real estate, especially short-term rentals, is wise for 2025.
The state's enduring appeal as a tourist destination ensures a steady stream of renters, making it an excellent investment choice.
Source: Florida TaxWatch
- 2025 mortgage rates: 7 experts on whether they’ll finally drop
12) Florida's population has grown by 1.3% annually, reaching nearly 23 million
Florida's population has grown by 1.3% annually over the five years leading up to 2024, reaching nearly 23 million.
Since 2010, the state has seen 12 consecutive years of growth, averaging 1.4% annually.
This trend indicates rising housing demand, driven by retirees and remote workers.
The influx of residents boosts housing needs, making Florida's real estate market dynamic and promising.
With continuous growth, Florida is a prime location for real estate investment in 2025, offering potential property value appreciation and strong demographic support.
Source: Florida Economic and Demographic Research
In 2024, Florida welcomed over 170 million visitors, creating lucrative opportunities in short-term rental real estate
In 2024, Florida welcomed over 170 million visitors, marking a significant increase and boosting the state's economy.
This surge fuels demand for short-term rentals, offering real estate investors lucrative opportunities.
The influx supports the hospitality sector and stimulates local businesses, enhancing the economic landscape.
As tourists explore Florida's attractions, rental property demand rises, indicating that investing in Florida real estate, especially short-term rentals, is wise for 2025.
The growing visitor numbers ensure a steady stream of renters, making Florida an excellent real estate investment choice for 2025.
Source: Florida TaxWatch
Get our spreadsheets tailored to Florida!
Our tools cover everything: NOI, COC, Cap Rate, Gross Yield, Net Yield, LTV, ROI, and numerous other metrics and charts.
So, is Florida a good place to invest in property? Absolutely!
Florida's real estate market is booming, making it a prime spot for property investment. With a 94.5% occupancy rate for single-family rentals, investors can expect steady rental income and minimal vacancy risks.
The state's average annual gross rental yield for three-bedroom properties is projected to reach 7.55% in 2024, offering strong profitability. Additionally, the median single-family sales price is expected to rise by 9.7% in 2025, indicating robust market health and potential for property appreciation.
Florida's low property tax rate of 0.83% and a median rent that's $416 above the national median further enhance its appeal. With a growing population, strong job market, and a thriving tourism industry, Florida offers a dynamic and promising real estate investment environment.