FHFA: Florida Claims Six of The Top Ten Metros for Price Increases

FHFA: Florida Claims Six of The Top Ten Metros for Price Increases

According to the Federal Housing Finance Agency (FHFA) House Price Index (FHFA HPI), U.S. house prices rose 8.4% year-over-year from the fourth quarter (4Q) of 2021 to 4Q 2022. However, in Florida, the average price increase was 15.2% - the highest of any state, with North Carolina following closely behind at 13.4%. In fact, Florida's 100 largest metros all ranked in the top 31 for price increases, with six of them taking spots in the top ten.
 
Bradenton in Florida took the top spot for year-over-year growth, boasting a 20.1% increase. Fort Lauderdale-Pompano Beach-Sunrise came in second place, with an 18.2% year-over-year increase. West Palm Beach-Boca Raton-Boynton Beach took third place, rising by 17.8% year-over-year.
 
In contrast, the District of Columbia saw a drop in housing prices by 0.8%. California, Idaho, Oregon, and Washington all had lower-than-average increases, with California only seeing a 2.3% rise.
 
FHFA's Dr. Polkovnichenko, supervisory economist in the Division of Research and Statistics, commented that "house prices grew at a much slower pace in recent quarters amid higher mortgage rates and a decline in mortgage applications," but added that these negative pressures were partially offset by historically low inventory.
 
It's worth noting that while five of Florida's metros saw a quarter-to-quarter increase in housing prices, Tampa-St. Petersburg-Clearwater and Jacksonville both saw declines of 0.1% and 1.8%, respectively. FHFA's seasonally adjusted monthly index for December was also down 0.1% from November.
 
The FHFA HPI uses seasonally adjusted, purchase-only data from Fannie Mae and Freddie Mac and is considered one of the most reliable indicators of U.S. home price changes. The report measured all 50 states and over 400 American cities.
 
In summary, Florida is seeing a notable rise in housing prices, with the state taking six of the top ten spots for year-over-year increases. While this trend may continue in the near future, it's important to keep an eye on fluctuations in the market.

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Beyond his professional achievements, he embraces a dynamic coastal lifestyle in the company of his wife, Rita, taking full advantage of Florida's diverse offerings. As an active member of the Sarasota Softball League and an enthusiast of golf, jogging, biking, and fishing, Joe not only understands but lives the essence of the Florida lifestyle.

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