Drew Dixon
The Florida Chamber of Commerce has issued its annual Business & Economic Mid-Year Report, showing that the Sunshine State is outpacing the nation so far this year in gross domestic product (GDP) growth.
Florida’s GDP in the first quarter was estimated to amount to $1.76 trillion. It also was an increase of 1.4% for those first three months when compared to the same time period in 2024, according to the report.
The U.S. GDP, meanwhile, showed a 0.5% decline for the same time frame. The latest GDP increase for Florida follows a trend of consistent increases since the first quarter of 2023.
The report noted that the national GDP dip in growth in the first quarter is a troubling sign.
“One definition of a recession is a drop in real GDP for two consecutive quarters, so this decline in the value of the U.S. economy is significant. It is unknown whether this trend will continue into second quarter data, as it was largely due to an increase in imports,” the report said.
However, Florida’s robust GDP growth in the early stages of 2025 shows the state is ahead of most other areas of America.
“For perspective, 36 U.S. states each have an economy that’s less than one-third the size of Florida’s,” the report noted, as there was only one state that outpaced Florida’s GDP growth. That was South Carolina, which saw about a 1.6% expansion.
The report details and analyzes several economic factors from the latest data available from 2023 and 2024. One key economic indicator is the housing market, and the latest figures show there needs to be some change, according to the analysis.
The Florida Chamber report showed that the June median housing price was $439,000 across Florida. It’s nearly identical to the national median home price of $441,000. While the Florida figure has been relatively flat for the first half of this year, it’s a substantial jump from 2019, when the median price of a house was about $325,000. That’s about a 53% hike in home prices.
The Chamber report concluded that it’s a sore spot for the economy and could have stubborn economic ramifications for the next five years.
“For Florida’s economy to grow to be a top 10 global economy by 2030 (and to attract and retain a skilled workforce) housing in Florida needs to be affordable and accessible for the growing population. Although prices have increased significantly in the market since 2019, the current trend is a ‘cooling off.’ Prices are leveling out as active listings go up, and there is a slow transition into what could be a buyer’s market,” the report found.
