Core Insights - Florida remains a popular retirement destination due to its favorable climate, beaches, and lack of state income tax, with home prices expected to decline slightly in 2026, presenting a potential opportunity for buyers [1][9][11] Home Price Trends - Home prices in Florida's eight largest metro areas are projected to decrease nearly 2% in 2026, with Miami being the only city expected to see a slight increase of 1.1%, while Gulf Coast areas may experience declines up to 10.2% [3][9] - The decline in home prices follows a period of rapid appreciation during the pandemic, driven by increased demand from remote workers and retirees, which led to unsustainable price increases [4][5] Affordability Challenges - Rising homeowners insurance costs, averaging $7,136 annually—nearly three times the national average—along with increasing homeowners association (HOA) fees, which range from $100 to $800 per month, are significant factors affecting affordability for retirees [7][8][9] - Despite potential home price declines, the overall cost of living in Florida remains high due to these rising expenses, which may offset any savings from lower home prices [9][12] Financial Benefits - Florida's lack of state income tax provides financial advantages for retirees relying on Social Security, pensions, or investment income, potentially offsetting higher housing-related costs [10][11] - Recent initiatives by the state government, such as proposals to eliminate property taxes on owner-occupied homes, could further enhance the financial appeal of living in Florida [10]