Florida’s real estate market is experiencing unprecedented growth, with home values across the state doubling in just the last five years. This surge is attracting significant attention from investors and homebuyers alike, drawn by the state’s appealing climate, extensive coastlines, and favorable financial incentives.
Key Takeaways
- Home values in select Florida markets have doubled in five years.
- Palm Beach leads with the highest median home value and significant five-year appreciation.
- Other Florida cities like Wauchula, Old Town, South Bay, and Bell also show strong home value growth.
- Florida offers financial advantages such as lower property taxes and no state income tax.
Florida’s Real Estate Boom
Florida continues to be a magnet for newcomers, offering a desirable lifestyle with its warm weather and abundant beaches. Beyond its lifestyle appeal, the Sunshine State presents compelling financial advantages, including lower property taxes and the absence of a state income tax, making it an attractive destination for both residents and real estate investors.
Top Markets for Investment
Recent analyses have identified specific areas within Florida experiencing the most substantial increases in home values. Palm Beach stands out as a prime location for real estate investment, boasting the highest median home value and a remarkable 118.2 percent increase over the past five years. While property in this affluent coastal town comes at a premium, its investment potential is undeniable.
For those seeking opportunities outside of Palm Beach, several other Florida cities are demonstrating impressive home value appreciation. Wauchula, situated about an hour from Tampa, has seen a 64.8 percent increase in home values over five years, with a median home value of $235,107 as of October 2025. Old Town in Dixie County ranks third, with a median home value of $207,787 and a 48 percent rise in real estate prices over the same period.
Rounding out the top five locations for rising home prices are South Bay and Bell. These destinations offer more affordable entry points, with median home values under $300,000 as of October 2025, making them attractive options for a broader range of investors.
Sources
- Best Florida Cities for Real Estate Investment, Travel + Leisure.