Some beach towns in Florida are contributing to an increase in rents, putting the state ahead of the national average. Many of these coastal markets received an influx of new residents thanks to the remote work wave during the pandemic.
Miami, West Palm Beach, and Fort Lauderdale are historically the only Sunshine State markets where rent growth exceeds national norms. However, with the help of these beach towns, which are seeing increasing demand and limited supply, effective asking prices for conventional properties across Florida were $172 above national rates as of February 2025, according to a RealPage report. Between 2015 and 2020, the state’s overall rental rates ran approximately in line with the national norm.
Joining the three large South Florida markets that typically enjoy higher-than-average rent growth are some of these smaller beach towns, including Naples, Port St. Lucie, North Port, and Tampa. These towns are primarily located along both the Gulf and Atlantic coasts, are relatively small, and have existing unit counts ranging from about 32,000 to 72,000, according to the report. Tampa is an exception, as it is a major apartment market with 293,000 units.
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Notably, rents in Naples have been up 62.4% since February 2020, and at $2,212 per month, it ranks well above Florida's rent average of $2,005. Absorption tripled the historical average last year at 1,200 units and came in ahead of concurrent supply levels, said RealPage. Because supply has not kept pace with demand in Naples, rents are growing at a faster pace. The market has added about 5,300 new apartments in the past 10 years, expanding its base by 19%, nearly on pace with the national growth rate of 21%.
Demand for housing in Naples is being driven by population growth of more than double the national pace from 2018 to 2023, with the highest increases in retirement age cohorts of 55 and older.
The North Port-Sarasota-Bradenton market logged monthly rents of $1,869 in February, while rents in Tampa were $1,856. North Port absorbed nearly 5,230 units during the year, and Tampa logged demand for 12,960 units, both about double their historical market norms. During the past decade, supply has increased 41.2% in North Port and 24.6% in Tampa.
On the Atlantic Coast, Port St. Lucie/Sebastian/Vero Beach had asking rents of $1,884 in February, and absorption totaled nearly 2,100 units last year.
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Kristen Smithberg
Kristen Smithberg is a Colorado-based freelance writer who covers commercial real estate, insurance, benefits and retirement topics for BenefitsPRO and other industry publications.
