What you should know about the Florida housing crisis

On Behalf of | May 5, 2023 | residential real estate | 0 comments

Florida housing prices have outpaced other states for the past several years. As a result, many parts of the state face a severe lack of affordable housing options.

Here is what you should know about the Florida housing crisis.

There are not enough rental units

Even though property owners built hundreds of thousands of new rental units between 2011 and 2021, the state lost more than 270,000 units that cost less than $1,000 per month to rent. As a result, more than half of renters in Florida spend at least 30% of their income on rent.

NIMBYs helped create the crisis

Communities around the state slowed the construction of affordable housing due to the belief that it is unattractive and creates crime. This contributed to many workers being unable to afford housing near their jobs.

The Legislature is trying to fix the problem

Many people blame Florida legislators for contributing to the housing problem by diverting over $2 billion in tax dollars from affordable housing to other spending. However, the legislature is now trying to fix the problem it may have helped create.

Florida lawmakers passed a bill allocating over $700 million to build affordable housing and incentivize new construction. The bill also provides money for interest-free loans to help people afford down payments on home purchases.

Critics of the legislation say the bill’s ban on rent control strips communities of an important tool to use to keep housing affordable. However, they hope the other measures will ease the current crisis.