MIAMI.- A Florida TaxWatch long-term rental market study, updated in 2024, highlights a significant increase in prices of rent in large cities like Miami, contrasting with a general trend of slowing prices in other metropolitan areas of the state.
Despite the overall decline in rental prices in Florida, Miami experiences 0.60% year-over-year growth for two-bedroom apartments, averaging $3,500. For a one-bedroom residential unit, the average is $2,600.
This phenomenon highlights continued demand in Miami due to its popularity among those seeking employment and for being considered a pleasant place to live, in a context where remote work has increased.
According to the study, This pattern suggests particular challenges for Miami within the broader landscape of Florida, where the legislature has taken steps to address housing affordability and the imbalance between supply and demand for rental units.
Rental prices in other cities
Unlike Miami, which is seeing an increase in rental prices, other cities in Florida are experiencing a general trend toward decreasing rental values year over year.
Fort Lauderdale: For one-bedroom apartments, the average price is $2,000, with a decrease of 5.30% year over year. Two-bedroom apartments have an average price of $2,800, marking a decrease of 5.70%.
Tampa: One-bedroom apartments are listed on average for $1,600, down 3.00% year over year. Two-bedrooms are at $1,900, with a slight decrease of 0.50%.
Orlando: There, the average price for one-bedroom apartments is $1,570, with a notable drop of 7.10% year over year. Two-bedroom apartments rent on average for $1,850, experiencing a decrease of 6.10%.
St. Petersburg: The average rent for a room is $1,450, decreasing 5.20% year over year. For two rooms, the average price is $2,000, with a reduction of 8.30%.
Jacksonville: One-bedroom apartments have an average price of $1,270, with an increase of 1.60% year over year. Two-bedrooms have an average price of $1,450, decreasing 2.00%.
Tallahassee: The average price for one-bedroom apartments is $970, showing an increase of 4.30% year over year. Two-bedroom apartments have an average price of $1,250, with a decrease of 2.30%.
Rental analysis
The research provides several tips and comments with the aim of mitigating the increase in rental prices in Florida.
Among the notable measures is the passage of the “Live Local Act” during the 2023 legislative session, an initiative aimed at addressing the imbalance between the supply and demand of rental units and beginning to address the problems related to rental options. affordable housing for Florida’s workforce.
This law seeks to respond to “constant appeal” of the Sunshine Statewhich captures the interest of a wide range of people, from new families to retirees looking for a warm place to downsize, with affordability being a crucial factor in the decision to move or stay within the state.
The document underscores the continued pressure on Floridians’ budgets due to the high prices they are paying for everyday needs, including housing, at a time when the cost of buying homes continues to rise, adding further stress to the market. rent and exacerbates rental prices beyond anything seen before the pandemic.
Furthermore, the report highlights the constant growth in rental demand at the state leveldriven by a record number of people entering the state in search of housing.
This growing demand, along with the challenges faced by potential homebuyers who decide to rent instead of buy due to high interest rates and mortgages, adds more pressure to Florida’s rental market.
The expectation is that, As supply begins to exceed demand in some areas, rental unit prices begin to decline to reflect this change in the market, offering potential relief from current high rental prices.
The company conducting the study on Florida’s long-term rental market is Florida TaxWatch, an independent, nonpartisan, nonprofit organization dedicated to tax research and acting as a government watchdog.
