Discover key trends and insights from Florida’s multifamily market
As we navigate through 2024, the multifamily real estate market presents opportunities and challenges for investors and property owners. The Q3 2024 Multifamily Market Update offers critical insights into the current state of key Florida markets, including Orlando, Melbourne, Daytona Beach, and Lakeland.
This quarter’s report highlights fluctuations in transaction volumes, price per unit trends, and growth metrics such as population and job growth. Whether you’re an investor looking to expand your portfolio or a property owner staying up-to-date with market conditions, this update will equip you with the data needed to make informed decisions.
Join us as we hear from Joe LaFleur and explore key trends and numbers that shaped the multifamily sector in Q3 2024 and what they mean for your real estate strategy.
Orlando market
Orlando remains a strong multifamily market, supported by a steady population and job growth. Despite a slight dip in rent growth, the city’s expanding workforce and increasing demand for housing make it a desirable location for investors seeking long-term gains.
Total 5-150 Unit Properties in the Market: 834
Total Volume Transacted in Q3 2024: $25.7M
Total Properties Transacted in Q3 2024: 4
*Average Price Per Unit: $155,572
Total Volume Transacted in Q3 2023: $13.4M
Total Properties Transacted in Q3 2023: 3
*Average Price Per Unit: $141,505
Population Growth: 1.8%
Job Growth: 2.0%
Rent Growth: -0.9%
“The two big numbers we’re seeing are population growth and job growth. Despite a decrease in rent growth, both population and job growth can drive rent growth and drive the values of multifamily properties.”
—Joe LaFleur, Multifamily Investment Advisor and Founder of 100Units
Melbourne market
Melbourne offers steady growth and affordability, with rent rates below the national average. This market is expected to present favorable investment opportunities in the coming months as population and job growth continue.
Total 5-150 Unit Properties in the Market: 356
Total Volume Transacted in Q3 2024: $15.1M
Total Properties Transacted in Q3 2024: 2
*Average Price Per Unit: $129,741
Total Volume Transacted in Q3 2023: $9M
Total Properties Transacted in Q3 2023: 3
*Average Price Per Unit: $77,759
Population Growth: 1.0%
Job Growth: 1.7%
Rent Growth: 0.1%
“Melbourne’s average rent rates are below the national average, making it an affordable location. Pricing predictions state that nine months from today will be the perfect time to buy and invest in a property in Brevard County.”
—Joe LaFleur, Multifamily Investment Advisor and Founder of 100Units
Daytona Beach market
Daytona Beach saw a sharp decline in transaction activity, but it remains one of the more affordable markets in Central Florida. With moderate population and job growth, the area still holds potential for strategic investments.
Total 5-150 Unit Properties in the Market: 430
Total Volume Transacted in Q3 2024: $2.1M
Total Properties Transacted in Q32024: 2
*Average Price Per Unit: $131,250
Total Volume Transacted in Q3 2023: $22.8M
Total Properties Transacted in Q32023: 12
*Average Price Per Unit: $141,342
Population Growth: 0.58%
Job Growth: 2.3%
Rent Growth: -1.5%
“Daytona Beach and Volusia County as a whole is currently one of the most affordable markets in Central Florida.”
“When you’re looking at investing in apartment buildings, It’s important to know where reasonable market vacancy is.”
—Joe LaFleur, Multifamily Investment Advisor and Founder of 100Units
Lakeland market
Lakeland is emerging as a popular location for multifamily investments, with impressive population rates and job growth rates. Its prime location between Orlando and Tampa adds to its attractiveness, making it an appealing market for investors looking to capitalize on regional growth.
Total 5-150 Unit Properties in the Market: 346
Total Volume Transacted in Q3 2024: $13.4M
Total Properties Transacted in Q3 2024: 4
*Average Price Per Unit: $113,602
Total Volume Transacted in Q3 2023: $1.5M
Total Properties Transacted in Q3 2023: 2
*Average Price Per Unit: $126,250
Population Growth: 2.1%
Job Growth: 2.3%
Rent Growth: –1.6%
“As one of the fastest-growing areas in Central Florida, Lakeland sits right between Orlando and Tampa, and with their population growth at 200, this is 400% of the national average. Their job growth is almost 50% above the national average. Lakeland is becoming a hot spot for investors.”
—Joe LaFleur, Multifamily Investment Advisor and Founder of 100Units
Financing trends
Loans have become essential for multifamily property transactions in 2024. Nearly all deals rely on financing, making it necessary for investors to explore their options. Different loans offer varying benefits: bridge loans provide flexibility but have higher rates, while agency and bank loans offer more stable terms.
With fluctuating treasury yields and interest rates, investors must stay aware of financial market changes to secure favorable financing and make informed investment decisions.
“Loans can be incredibly important for multifamily properties. In the past 12 months, we haven’t done a single cash transaction. Every single one has had a loan. You either get a bridge loan at 10% or agency loans, like Fannie Mae/Freddie Mac, in the 6% range, and a bank loan puts you at around 6-6.5%. The 10-year treasury has been on fire recently. The fed went down, and the 10-year treasury spiked back up.”
—Joe LaFleur, Multifamily Investment Advisor and Founder of 100Units
Related resource:
Expert advice: Multifamily financing
Outlook and key takeaways
While the multifamily market in Florida shows varied performance across regions, the overall outlook remains promising for investors who stay engaged with the evolving trends. Orlando continues to thrive, and Melbourne’s steady growth offers reliable investment potential. Although Daytona Beach and Lakeland face challenges, their population and job growth indicate resilience and future opportunities.
As the market adjusts, flexible and proactive investors are well-positioned to benefit from the dynamic shifts ahead. The potential for long-term gains is evident for those ready to adapt and seize the right opportunities.
Learn more:
The top 11 benefits of investing in Florida multifamily real estate
“Despite a decrease in rent growth, the Florida market is seeing an above-average increase in job growth and an almost 300% rise in population growth. These are the big reasons why people are pushing to invest in multifamily properties here in Central Florida. Across the board, we are working through one of the largest supplies in three decades, and as that supply is absorbed, rent growth is expected to return,” concludes Joe.
Watch our recent Connect & Invest to see Joe’s full presentation:
Q3 2024 Market Update Video
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Source: All facts and statistics are courtesy of CoStar.