Recent national reports have painted a grim picture of Florida’s housing market, citing rising foreclosures and plummeting prices. However, experts and recent data suggest a more nuanced reality. While challenges exist, the state’s housing sector is demonstrating resilience and growth, defying some of the more alarmist narratives.
Key Takeaways
- March 2026 data shows a rise in single-family home sales and near-record median prices.
- Foreclosure filings, though up year-over-year, remain a small fraction of historical highs.
- Increased housing inventory is largely in line with population growth.
- Price reductions often reflect corrections from inflated COVID-era asking prices.
Challenging National Narratives
National media outlets have highlighted headlines such as "Foreclosure filings jump," "Prices ‘dropping hard,’" and "Florida (among) the biggest losers." These reports, however, are often criticized by Florida real estate professionals for lacking crucial context.
Brad O’Connor, chief economist for Florida Realtors, stated that while challenges exist, "plummeting demand is not currently one of them." The Florida Realtors association reported a 5.9% year-over-year increase in single-family home sales in March, with a median sale price of $420,000, the fourth-highest on record.
Foreclosure Rates: A Matter of Perspective
While a report from ATTOM indicated Florida had the nation’s third-highest foreclosure rate in March (1 in 2,124 housing units), experts emphasize historical context. O’Connor noted that this rate is significantly lower than the levels seen during the 2010 housing crash, when one in every five homes in Florida faced foreclosure.
In March, Florida recorded 4,929 foreclosure filings out of over 10.25 million housing units, representing less than half of one percent. This is a stark contrast to the early 2010s, when foreclosures accounted for 20% of homes.
Housing Inventory and Population Growth
Claims of an oversupply of housing in Florida are also being re-examined. While active listings have increased compared to pre-pandemic levels, this growth is largely mirrored by Florida’s significant population increase. Between March 2019 and March 2025, the state’s population grew by 9.1%, while active listings saw a 9.5% increase.
Furthermore, O’Connor pointed out that statewide inventory for single-family homes and condos/townhouses has actually declined by 10.8% compared to the previous year. He contrasted the current inventory levels with those of 2008, when over 385,000 active listings were on the market – more than double the current figures.
Price Adjustments and the COVID-19 Boom
Reports of prices "dropping hard" are often attributed to price reductions on listings that were initially priced unrealistically high during the COVID-19 housing boom. This boom, from mid-2020 to late 2022, saw double-digit percentage increases in median sale prices for 28 consecutive months.
Realtors explain that some sellers still expect the inflated prices of that unsustainable period. Brenden Rendo, an Orlando-area Realtor, noted that while houses are still selling quickly if priced correctly, sellers need to adjust expectations to current market conditions, not those of 2022.
A Market in Adjustment, Not Collapse
Experts agree that the Florida housing market is undergoing an adjustment from an unusual period, rather than heading for a collapse. Unlike the early 2000s, the market is not characterized by widespread subprime or adjustable-rate mortgages. Today’s homeowners largely benefit from fixed-rate mortgages, providing greater stability.
Chuck Bonfiglio, Florida Realtors’ 2026 board president, stated that price moderation is expected and healthy after years of rapid appreciation. He added that demand has been consistently rebuilding, allowing buyers to make informed decisions.
Sources
- Florida housing myths challenged by March real estate data, Daytona Beach News-Journal.
- Housing market in Florida show positive picture despite reports, Daytona Beach News-Journal.