Florida Unsold Home Inventory Soars Due To Surging HOA Fees, Insurance Costs

MIAMI, Florida - Active listings—the total number of homes for sale in the U.S.—climbed to the highest level since 2020 in November on a seasonally adjusted basis, rising 0.5% month over month and 12.1% year over year, with Texas and Florida having the highest inventory according to a new report from Redfin.

Redfin says that a major reason for the jump in supply is a pileup of unsold homes, many of which buyers have deemed undesirable because they seem overpriced.

Over half (54.5%) of home listings in November sat on the market for at least 60 days without going under contract. That’s the highest share for any November since 2019 and is up from 49.9% a year earlier. The typical home that did go under contract in November did so in 43 days, the slowest November pace since 2019.

In Miami, 63.8% of listings in November were on the market for 60 days or longer without going under contract—the highest share among the top 50 metros. Next came Austin, TX (62.4%), Fort Lauderdale, FL (62.3%), San Antonio (60.3%) and Orlando, FL (59.9%).

Florida and Texas have been building more homes than anywhere else in the country, which is one reason inventory, and thus, stale listings, are on the rise. Surging HOA fees, high insurance costs and destructive natural disasters are also making many Florida house hunters hesitant to pull the trigger. Florida is home to three of the five metros that saw the largest year-over-year increases in active listings last month.

Florida has also seen the biggest increase in stale inventory. In Tampa, 56.9% of listings last month were on the market for at least 60 days without going under contract, up 12.3 percentage points from a year earlier. That’s the largest gain among the top 50 metros. Next came Fort Lauderdale (12 ppts), Orlando (11 ppts), San Diego (11 ppts) and West Palm Beach (11 ppts).