Florida Retirement Real Estate Outlook
In this article, we’ll get right into some of the detail of what’s going on in the state by looking at Annual Florida Home Price Appreciation Rates for the past 20 years. This data includes various types of Florida homes including single family homes, condos, etc.
This detailed data speaks to the epic Florida (and nationwide) housing price crash at the latter end of the last decade, with the turnaround in the past few years.
As you can see from the table below, the worst appreciation period in Florida was -21% in the 1 year ending with the 4th quarter of October 2008. However, there is lots of activity in the Florida real estate scene for 2015-2016 as prices continue to rise in many areas. Note the trend as we moved into 2015, and now head to 2016:
Annual Home Price Appreciation Rates: Florida
| Year | Rate % | Year | Rate % | Year | Rate % |
| 1984 | 1.51 | 1994 | -0.73 | 2004 | 19.61 |
| 1985 | 2.54 | 1995 | 4.43 | 2005 | 27.16 |
| 1986 | 4.42 | 1996 | 1.23 | 2006 | 7.92 |
| 1987 | 2.79 | 1997 | 4.33 | 2007 | -7.52 |
| 1988 | 4.89 | 1998 | 4.76 | 2008 | -21.02 |
| 1989 | 3.92 | 1999 | 3.84 | 2009 | -10.48 |
| 1990 | 0.26 | 2000 | 8.19 | 2010 | -5.48 |
| 1991 | 3.09 | 2001 | 10.45 | 2011 | -5.53 |
| 1992 | 2.10 | 2002 | 10.54 | 2012 | +7.94 |
| 1993 | 2.99 | 2003 | 11.95 | 2013 | +12.50 |
| 2014 | +11.11 |
Source: Florida House Price Index, Zillow
Historical Florida Home Price Appreciation
Last Quarter 4.19%
Last Year 11.11%
Last 5 Years 4.11%
Last 10 Years 1.66%
Last 20 Years 4.80%
Decline from All Time High -32.30%
The above data provides a nice summary and overview of what has happened to Florida’s real estate prices over many years. When looking at this data, remember that these are average values. Some markets were hit much harder than the above data would lead one to believe.
The forecast for 2015-2016 suggests that the market may continue to inch upwards, but the rate of appreciation is slowing given the above indicators. Some areas in FL are climbing steeply to the delight of sellers (and even recent buyers). The Florida real estate market is still also outperforming many areas of the country after the epic sell-off of 2007-2010.
One estimate shows Florida real estate will continue to rise on the order of 2.8% in 2015-2016.
And as you read this report, many retirees and investors are taking advantage of this historic opportunity to reside or own property in the beautiful state of Florida. And you can be one of them too after doing your due diligence on various Florida regions, towns, and home types.