I'm a Real Estate Expert: 7 Biggest Myths About Florida's Housing Market
There are many misconceptions about Florida’s housing market, despite it being one of the biggest slices of American real estate.
According to a recent report from Homes.com, 187,423 of the 1.43 million active listings around the country were in Florida in May of 2026, or 1 in 7.62 houses. For contrast, Texas and California came in second and third, respectively. The report also cited Census data that Florida added almost 2 million residents between 2020 and 2025.
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Another report from HireAHelper said that Florida had America's highest total inbound moves in 2025 at 45,696. However, the data also pointed out that the Sunshine State also had 44,881 outbound moves, which means a net gain of only 815 — which makes sense, since someone had to sell those homes to the outbound folks in this locked-up real estate market.
To clear the air, we spoke with top real estate experts to debunk some of the most persistent myths about the housing market in Florida.
Myth #1: Florida Is a Single Housing Market
“One of the biggest misconceptions is treating Florida as a single housing market,” said Daniel Ickowicz, a broker and CEO of Elite International Realty. “In reality, Miami, Orlando, Tampa, Jacksonville, Naples and other cities each have their own economic drivers, buyer profiles, inventory levels and pricing trends.”
This means that advice that could be accurate in one city can be misleading in another market. Potential buyers should prioritize local market conditions over national headlines.
Myth #2: Mortgage Rate Cuts Will Bring Housing Prices Down
“One of the biggest myths I hear is that if mortgage rates come down, home prices across Florida will automatically fall too,” said Danielle Andrews, a realtor with Realty ONE Group Next Generation. “In reality, lower rates often bring more buyers back into the market, which increases competition and can actually put upward pressure on prices.”
Waiting for lower rates could mean that you pay more for the house in the future as more buyers enter the market due to improved affordability.
“The Florida market rewards informed buyers, not buyers who try to time headlines," Andrews said.
The experts agreed that mortgage rates are only one part of the equation, and you shouldn’t ignore other key financial metrics like purchase price, property taxes and insurance.
Myth #3: Waiting Will Always Lead to Better Opportunities
“While some segments have seen more inventory and longer marketing times, well-located properties in desirable neighborhoods continue to attract strong demand,” said Ickowicz.
Buyers who delay based solely on headlines can end up missing the right property or paying more later if market conditions shift.
Myth #4: Every Property Is a Good Investment
Many buyers also assume that every property in Florida is a good investment simply because of the state's population growth.
“Location, quality of the asset, rental demand, insurance costs, homeowners' association fees and future supply all matter,” Ickowicz said. In his experience, two properties just a few miles apart can have very different long-term performance.
Myth #5: Every Florida Property Is Very Expensive To Insure
While Florida’s lack of state income tax and lower property taxes may seem enticing, you can’t ignore insurance rates. Homeowners insurance costs anywhere from $3,000 to over $6,000, depending on your location and coverage, per data from 1-800-Insurance. Florida homeowners pay almost five times the national average for insurance.
Andrews recommends that buyers get insurance quotes early in the process to know what they’re getting into, because insurance will vary by the property and it won’t always be astronomical.
“A home's age, roof, location, flood zone, wind mitigation features and recent updates all play a significant role,” she said.
Myth #6: You Need a 20% Down Payment To Purchase a Home
There are several financing options with much lower down payment requirements than the traditional 20%, so you don’t have to spend years waiting to enter the market. There are also state and local homebuyer assistance programs that many people don't realize are available.
Myth #7: Your First Home Has To Be Your Dream Home
Many buyers sit on the sidelines longer than they should, due to this mindset. Andrews recommends that you view every purchase as a stepping stone that builds equity, financial stability and buying power for the next home. The experts agreed that there’s a wide range of affordability and housing options depending on which area in Florida you look for a home in.
“The best decisions come from understanding the specific local market and evaluating the property itself, rather than relying on broad assumptions about Florida as a whole,” Ickowicz said.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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