N※N

Where Home Prices Took the Biggest Hits in 2023 -- A Deep Dive into Florida's Housing Market

  //house-home.news-articles.net/content/2025/11/2 .. 3-a-deep-dive-into-florida-s-housing-market.html
  Published in House and Home on Sunday, November 23rd 2025 at 17:29 GMT by WPTV-TV

• 🞛 This publication is a summary or evaluation of another publication
• 🞛 This publication contains editorial commentary or bias from the source

2025-11-23 239 x 211 / 11359 Bytes

2025-11-14 235 x 214 / 9280 Bytes

2025-11-23 224 x 224 / 8378 Bytes

2025-11-14 237 x 212 / 9858 Bytes

Where Home Prices Took the Biggest Hits in 2023 — A Deep Dive into Florida’s Housing Market

In a story that surprised many homeowners and real‑tors alike, WPTV’s “Your Home May Have Lost Value This Year” piece broke down how Florida’s real‑estate market has cooled, showing that the state’s once‑booming housing values have actually slipped in many key neighborhoods. While the national market is gradually recovering from the pandemic‑era boom, the article underscores that even in the Sunshine State, some homes saw the steepest price drops of the year. Below is a comprehensive summary of the report’s key findings, contextual data from additional sources, and the forces driving Florida’s housing decline.

1. The Big Picture: National Trends Set the Stage

WPTV opened with a broad look at the U.S. housing market. The National Association of Realtors (NAR) released a quarterly report showing that median home prices dropped 1.7% in Q4 2023 compared to the same period in 2022. While this decline is modest relative to the 20‑plus‑year highs of 2021, the slowdown is consistent across most regions. WPTV linked to the NAR press release and cited Zillow’s “Zillow Home Value Index” (ZHVI), which tracks price changes across 8,000 U.S. zip codes. Zillow’s data mirrored the NAR trend: the U.S. national average fell about 3% over the last 12 months.

The article emphasized that the national price fall is largely driven by higher mortgage rates and a slowing economy. In 2022, mortgage rates surged to an average of 6.8% for a 30‑year fixed loan, a sharp rise from the historic lows of 3.5% seen in 2020. Higher rates make homes less affordable, dampening demand and putting downward pressure on prices.

2. Florida’s Market: A Statewide Overview

In Florida, the median home price as of Q4 2023 was $370,000—down from $400,000 in Q4 2022, a 7.5% drop. That statewide decline is noticeably steeper than the national average. The article provided a chart that breaks the state down into five key metro areas, highlighting where the price erosion was most pronounced:

The drop in Jacksonville and Pensacola was the most dramatic, with prices falling nearly 14% in a year. The article attributed the steeper declines in these regions to several factors: an influx of out‑of‑state buyers that was expected to boost prices, the rise of “Florida’s “ghost town” trend—homeowners moving out in search of lower taxes or climate‑safe regions—combined with the 2022‑2023 surge in interest rates.

3. Local Insights: Why Some Areas Fell Harder

WPTV’s reporters interviewed a handful of local real‑tors and market analysts to dig into the specifics behind each region’s price changes. Here’s what they found:

Miami‑Fort Lauderdale

Miami’s high-end luxury segment is heavily tied to foreign buyers, especially from Latin America. The article noted that after the pandemic, a record 5,000 foreign buyers purchased homes in the Miami area. However, stricter U.S. mortgage lending rules and increased capital controls in several source countries have tightened access to financing, cooling the market. Consequently, Miami’s luxury market saw a 10% price decline.

Tampa Bay

Tampa’s appeal lies in its lower cost of living relative to Miami and its robust job market. The article highlighted the city’s “tech boom”—a surge of remote workers attracted to Tampa’s beaches and low taxes. But the 2023 interest rate spike made those buyers wary. Tampa’s housing inventory grew by 12% over the year, while median price drops by 10%, illustrating the classic supply‑demand imbalance.

Orlando

Orlando’s property market is dominated by “second‑home” and vacation rentals. As tourism receded after 2022, many owners sold, adding to inventory. Additionally, the Florida Department of Transportation reported a 5% increase in road construction projects in 2023, adding to the perceived inconvenience of living in a tourist‑heavy area. The article linked to the Florida Dept. of Transportation website for the full project list.

Jacksonville and Pensacola

The article featured an interview with Dr. Lisa Ortiz, a housing economist at the University of Central Florida, who explained that the price decline in Jacksonville and Pensacola can be traced to two factors:

1. Climate‑risk perception – Hurricanes, flooding, and sea‑level rise concerns have started to influence buyer decisions. The article linked to the National Oceanic and Atmospheric Administration (NOAA) climate risk map, showing higher flood risk zones in the Gulf‑coast corridor.
2. Job‑market shifts – Many manufacturing and logistics companies that once thrived in those regions have relocated to the Midwest, decreasing local demand for housing.

4. What This Means for Homeowners

WPTV’s piece concluded with practical advice for homeowners whose properties may have lost value. The article offered three key take‑aways:

1. Re‑appraise your property – The article linked to the local county property appraiser’s online tools for a quick estimate of current market value.
2. Consider equity‑based refinancing – While rates are high, many borrowers can still refinance to a lower rate or convert to a 15‑year mortgage if they have sufficient equity. The article pointed to a local bank’s rate comparison chart.
3. Plan for a future rebound – Experts in the article suggested that Florida’s real‑estate market is likely to rebound as interest rates stabilize. The article cited a 2024 forecast from the real‑estate analytics firm CoreLogic, projecting a 3% price increase in the next 12 months.

5. Linking the Bigger Picture: External Resources

The WPTV article is thorough, but it also relies on external data and reports to give readers a full context. For readers interested in deeper analysis, here are the most useful resources linked in the article:

• National Association of Realtors Quarterly Report – provides detailed data on median prices, inventory, and market absorption rates.
• Zillow Home Value Index – offers interactive maps of price changes by zip code, which can be filtered by region or time period.
• NOAA Climate Risk Map – visualizes flood risk and sea‑level rise projections across Florida, which can influence future property valuations.
• Florida Department of Transportation Road Projects – lists major construction projects that may affect local housing desirability.
• University of Central Florida Housing Economics Research – contains peer‑reviewed studies on housing demand, supply, and the impact of macro‑economic factors.

6. Bottom Line

The article from WPTV demonstrates that Florida’s housing market is not immune to the nationwide cooling effect of higher mortgage rates and a shifting demographic landscape. While some regions—particularly Jacksonville, Pensacola, and Orlando—saw price declines over 10%, others like Miami also experienced noticeable falls, primarily in the luxury segment. For homeowners, staying informed about local inventory, interest rates, and climate risks is crucial. For buyers, understanding the current market dynamics can help them negotiate better deals or choose neighborhoods with stronger price resilience.

In sum, the article paints a nuanced picture: Florida’s real‑estate market is still in flux, but with careful analysis and strategic action, both buyers and sellers can navigate the downturn and position themselves for the inevitable rebound.