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While home prices are still rising across the U.S., driven by an ongoing supply shortage, in the two states with most of the new construction approvals in recent years—Florida and Texas—buyers are finally getting the upper hand.
Both the Florida and Texas housing markets boomed during the pandemic, as the rise of remote work led to an influx of new residents moving in from out of state, attracted by sunny weather and a relatively cheaper cost of living.
Nadia Evangelou, the National Association of REALTORS® (NAR) senior economist and director of real estate research, previously told Newsweek: "Higher inventory in Florida is good news for buyers because it provides more options and opportunities in a market that has been very competitive in recent years. However, it's important to put this increase in context. While inventory levels now are better than pre-pandemic, they are rising from low levels seen during the pandemic. At the same time, demand in Florida remains very strong, driven mostly by population growth, new household formations, and high levels of migration into the state.
"As one of the fastest-growing states in the country, Florida continues to see steady buyer interest, and this additional inventory is helping balance the market. Even though home price gains have softened at the state level, we continue to see strong appreciation in metro areas like Miami and Naples, where prices have increased more than 7 percent in Miami and 10 percent in Naples year-over-year."