The housing market skyrocketed during the pandemic as low mortgage rates and remote work fueled an unprecedented demand. Florida leads the way in home buying and rental needs, with a population boom gone hog-wild.
According to U.S. Census figures, Florida experienced the second-largest rate of population growth during the pandemic, adding nearly 250,000 new residents. Warm weather, lower taxes, and affordable housing make Florida attractive. “Look, when it comes to housing in Florida, there’s a big demand. People want to be in Florida. We lead the country in net in-migration since COVID-19 hit,” Gov. Ron DeSantis said.
DeSantis has been vocal on the population growth, citing COVID-fueled restrictions and higher taxes in states such as New York and New Jersey as the root causes.
But with this growth comes new challenges and strong public sentiments. FloridaPolitics.com reports that the state has seen major hikes in rent prices. The state is home to five of the 10 cities where rent has increased the most since the beginning of the pandemic, including Miami, Tampa, Orlando, and Jacksonville.
Coupled with rising rents around the state and inflation acceleration, DeSantis points blame at the President: “I would say that when you have inflation, the way you’re doing it — because of policies that people like the Congressman have supported with Biden, joined at the hip — that is causing everything to be much more expensive,” DeSantis said.
Housing costs are rising with fewer places to live – a problem made worse in Florida by ongoing inflation. “Bidenflation” is the culprit, a term coined by critics of the Biden administration for policies that led to supply chain backlogs and inflationary pressures.
The federal eviction moratorium didn’t help matters, according to DeSantis. While the moratorium expired last October, it was a major contributor to the affordable housing scarcity. Landlords couldn’t collect rent, justifying rent hikes to cover costs. And with construction costs up 30%, new developments struggle to overcome cost barriers.
How long until America’s inflation crisis abates remains unknown. What is known is that “Bidenflation” will continue to impact Florida real estate decisions moving forward.