JACKSONVILLE, Florida. – For months, News4JAX viewers have been chiming in about skyrocketing rental costs and high prices to buy a home.
The median sale price for a home in northeast Florida during the month of February was over $351,000. That’s more than 20% higher than the price of a house in the same neighborhood a year ago.
A lack of housing inventory and increased demand continue to fuel the market, but industry experts say the North Florida market is showing signs of moderating.
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Mark Rosener is president of the Northeast Florida Association of Realtors.
“Part of that is, you know, market per sale as well. I mean, we’ve seen about a 22% increase in median price over the last 12 months, year over year. Luckily, we see that moderating a bit,” Rosener said. “Since November, median prices have fluctuated 2 or 3% in either direction. So hopefully we’re starting to see some of these indicators moderate a bit. »
Rosener said hopefully in the near future it will become a little easier for homebuyers to find a home when more inventory hits the market in April.
But unfortunately, for families who rent, the cost of rent should not go down.
“It’s classic supply and demand,” Rosener said. “The demand is strong and the supply is limited. And the market, you know, will dictate those kinds of increases.
News4JAX has learned that rents continue to rise in Northeast Florida, in part due to a slew of multibillion-dollar outside corporations that regularly buy homes and apartment complexes, sometimes at the blind.
Jacksonville’s housing market is even attracting national attention. A local couple who were recently featured on 60 Minutes said their monthly rent had risen from $1,000 to $1,300.
In January, a News4JAX employee saw her rent increase by almost $400 a month.
Industry experts say business owners have started to position themselves financially during the COVID-19 pandemic.
“They see the benefits. They’re seeing really good cash flow right now with rents where they are and have values where they are. But they also see a benefit over time in terms of appreciation of that asset,” Rosener said. “So at the end of the day, that’s kind of a good thing. If investors sold off and left town, we’d be more worried about that.”
We keep hearing from viewers talking about 30-40% increases in their rent. Jacksonville is now ranked nationally along with Austin, Texas and Phoenix, Arizona, as the metropolitan areas with the highest rent, according to real estate firm Redfin.
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