Key Takeaways

  • Florida’s median home listing price dropped 6.65% over three years to $420,000 in May 2026, while the statewide median rental yield sits at 7.14%, creating a favorable window for investors to buy the dip.
  • The four factors to prioritize when evaluating a Florida market are population growth, rental yield, future home appreciation, and access to local financing.
  • Naples leads all cities with a 9.52% median rental yield, though its $695,000 median listing price makes it the highest entry point on the list.
  • Rapidly growing cities like North Port and Port St. Lucie combine population-driven housing demand with rental yields above 7%, making them strong candidates for long-term rental investment.
  • ABL offers fast, flexible rental loans across Florida, giving investors a financing option designed to limit upfront costs and support positive leverage.

Owning real estate in Florida can be a great investment. However, not all cities offer the same returns, so do your research before buying, especially now that the state is experiencing some home value corrections. 

At Asset Based Lending (ABL), we keep a close eye on the Florida market because we’re constantly underwriting investment property loans. Whether you want to buy a rental home or fix & flip a distressed property, we have a loan program for you.

Florida Housing Market Snapshot

In May 2026, the median home listing price in Florida was $420,000. That’s 2.33% lower than a year prior and 6.65% lower than three years prior. 

Meanwhile, the median rent across Florida’s 107,781 rental properties was $2,500, which represents a 7.14% median rental yield. 

In other words, while Florida’s home values have been falling recently, you can still buy properties that generate an attractive return through rental income. Plus, buying a property now may mean buying the dip before home values rise again, adding to your overall returns.

What to Look for in a Florida Real Estate Market

When evaluating Florida housing markets to invest in, look for the following:

Population Growth

The faster a city’s population grows, the more housing demand there will be. This puts upward pressure on home values and rents, which can boost your returns.

High Rental Yield

Rental yield measures a property’s rental income as a percentage of its value. It’s calculated like this: Annual Rental Income / Property Value = Rental Yield. The higher the number, the better.

Future Home Appreciation

Home appreciation is the rate at which home values are increasing. While many Florida homes have fallen in value recently, some may rise again soon.

Local Financing Options

Choose a market that has ample property financing options. ABL offers fast, flexible rental loans statewide for investors who want to limit their upfront investment and gain positive leverage. 

Top 10 Florida Cities for Real Estate Investors

Here are the top ten Florida cities for maximizing your real estate returns: 

1. Naples

Median listing price $695,000
Median monthly rent $5,512
Median rental yield 9.52%

Located on Florida’s southwestern coast, Naples is a small city with about 20,000 residents. Though the price of entry is high, with a median listing price of $695,000, properties can command an extremely high median rent of $5,512, resulting in a median rental yield of 9.52%. 

2. Punta Gorda

Median listing price $375,000
Median monthly rent $2,430
Median rental yield 7.78%

Tucked along the Peace River on Florida’s Gulf Coast, Punta Gorda offers a more accessible price of entry than Naples while still delivering strong returns. With a median listing price of $375,000 and a median rent of $2,430, the city posts a healthy 7.78% rental yield.

3. North Port

Median listing price $359,000
Median monthly rent $2,300
Median rental yield 7.69%

One of the fastest-growing cities in the country, North Port has drawn a steady influx of new residents in recent years. That growth, paired with a median listing price of $359,000 and a median rent of $2,300, helps the market sustain a 7.69% rental yield.

4. Ocala

Median listing price $295,000
Median monthly rent $1,875
Median rental yield 7.63%

Ocala stands out as one of the more affordable markets on this list. At a median listing price of just $295,000 and a median rent of $1,875, the city delivers a 7.63% rental yield, appealing to investors looking for lower upfront costs.

5. Fort Myers

Median listing price $329,900
Median monthly rent $2,040
Median rental yield 7.42%

A well-established hub on Florida’s southwestern coast, Fort Myers combines affordability with consistent rental demand. With a median listing price of $329,900 and a median rent of $2,040, investors here can expect a solid 7.42% rental yield.

6. Port St. Lucie

Median listing price $427,674
Median monthly rent $2,597
Median rental yield 7.29%

Located along Florida’s Treasure Coast, Port St. Lucie has seen significant population growth as residents move up from South Florida in search of more space. Despite a higher median listing price of $427,674, strong rents of $2,597 keep the city’s rental yield at a high 7.29%.

7. Lehigh Acres

Median listing price $325,000
Median monthly rent $1,900
Median rental yield 7.02%

Just east of Fort Myers, Lehigh Acres is a fast-growing residential community that’s become a favorite among investors seeking affordable single-family rentals. With a median listing price of $325,000 and a median rent of $1,900, the market generates a 7.02% rental yield.

8. Jacksonville

Median listing price $294,995
Median monthly rent $1,695
Median rental yield 6.90%

As Florida’s largest city by population, Jacksonville offers scale, diversity, and one of the most affordable price points on this list. A median listing price of $294,995 paired with a median rent of $1,695 gives the market a 6.90% rental yield, backed by a deep and growing tenant pool.

9. Kissimmee

Median listing price $380,000
Median monthly rent $2,150
Median rental yield 6.79%

Just south of Orlando and within reach of major theme parks, Kissimmee benefits from steady demand tied to tourism and central Florida’s broader population growth. With a median listing price of $380,000 and a median rent of $2,150, the city posts a 6.79% rental yield.

10. Port Charlotte

Median listing price $349,999
Median monthly rent $1,900
Median rental yield 6.51%

Rounding out the list, Port Charlotte offers Gulf Coast access at a relatively affordable price point. A median listing price of $349,999 and median rent of $1,900 give the market a 6.51% rental yield, closing out a strong group of cities for investors targeting cash flow.

Fund Your Next Florida Property With an ABL Loan

Ultimately, Florida’s market correction has created a rare window for investors: home prices are softening while rents stay strong, pushing rental yields higher across many cities. Whether you’re eyeing a high-yield coastal market or an affordable inland city, the right financing can make all the difference in maximizing your returns. Pre-qualify for an ABL loan today!

Note on sources:

  • Florida housing market data taken from Realtor.com (unless otherwise cited).

 

Why is Florida a good state for real estate investing?

Florida combines strong population growth, a warm climate, and a large tourism industry that drives consistent housing demand. Even during market corrections, rental demand across many Florida cities remains strong, which helps investors maintain positive cash flow while waiting for home values to recover.

What is rental yield and how is it calculated?

Rental yield measures how much rental income a property generates relative to its value. To calculate it, divide annual rental income by the property value. The higher the rental yield, the stronger the return on your investment relative to what you paid for the property.

Is now a good time to invest in Florida real estate?

Florida home values have fallen 6.65% over the past three years as of May 2026, while rents have remained strong. This has pushed rental yields higher across many markets, giving investors the opportunity to buy at a lower price point while still generating attractive returns through rental income.

What types of Florida investment properties can ABL finance?

ABL offers rental loans and fix and flip loans for non-owner-occupied investment properties across Florida. Whether you are targeting a high-yield coastal market or an affordable inland city, ABL has a loan program built for real estate investors.

Back to blogs
Share:

Real Reviews from Real Borrowers

 
Trustpilot