As we move into 2025, Florida's economy continues to show resilience and growth, particularly in the housing and job sectors. With an influx of new residents, increased construction activity, and a strong job market, the Sunshine State remains a prime destination for both homebuyers and investors.   Housing Market on the Rise One of the biggest drivers of Florida’s economy is its real estate market. Affordable housing options, steady new construction, and the state’s appeal to younger, more diverse buyers are fueling growth. Cities like Miami, Fort Lauderdale, Orlando, and Tampa are among the top metro areas poised for significant expansion in the housing sector. For homebuyers, declining mortgage rates and increasing inventory are creating new opportunities, even as affordability remains a challenge. While 2024 saw slower sales and flat pricing, 2025 is expected to bring renewed confidence and more market activity.   Multifamily Housing and Rental Demand Florida’s rental market is also experiencing sustained demand. Although job growth is expected to moderate slightly, it remains positive, supporting the need for multifamily housing. Investors are closely watching inflation and interest rate trends, as these factors will influence rental affordability and development activity.   Economic Outlook: Jobs and Growth Beyond housing, Florida’s job market continues to expand, with key industries such as tourism, healthcare, and technology driving employment. The state’s business-friendly environment and tax incentives continue to attract companies and entrepreneurs, further strengthening the economy.   Looking Ahead Despite economic challenges such as inflation and interest rates, Florida’s housing market is expected to benefit from increased confidence, lower mortgage rates, and rising inventory levels. With strong fundamentals in place, 2025 is shaping up to be a year of opportunity for buyers, sellers, and investors alike. For those considering a move to Florida or investing in real estate, staying informed about market trends is key. Whether you're looking to buy a home, invest in rental properties, or understand the economic outlook, Florida remains a thriving hub for growth and opportunity.   Source: FloridaRealtors

National Real Estate News Job openings drop The JOLTs report (Job Openings and Labor Turnover) revealed that total job openings had declined from 8.15 million in November to 7.60 million in December. In general, companies aren’t hiring much, and workers aren’t quitting much. In other words, the job market is nowhere near as tight as it used to be, and that's evident in slower annual wage growth. [Source: BLS]   Mortgage rates decline The "risk-off" trade (selling stocks and buying bonds/gold) has seen bond prices rising and bond yields falling. That's helped average 30-yr mortgage rates move closer to the 6 percent range. Can this trend continue? It will really depend on the January jobs (2/7) and CPI (2/12) reports. [Source: Mortgage News Daily]   Spoiled for choice The inventory of homes for sale always peaks in September/October, declines through winter, and then starts rising again in March. That said, inventory continues to recover from its COVID-era lows. January 2025 active inventory of 829,376 homes was 25% above January 2024 levels, and only 13% below January 2020 (pre-COVID) levels! [Source: Realtor.com]     Local Market Trends As of Friday, February 7, 2025   Tampa’s residential market is stabilizing, with home prices holding steady but buyer competition easing. New construction remains attractive, especially with builder incentives, while resale homes need strategic pricing to sell quickly. Higher mortgage rates are making affordability a concern, but serious buyers are still active. Inventory is rising, giving buyers more options, though move-in-ready homes remain in demand. Sellers should focus on pricing competitively and staging effectively to attract offers.         Source: ListReports