The Tampa Bay and Orlando metropolitan areas have been grappling with skyrocketing prices, particularly in real estate. As a result, many individuals have sought out alternative locations that offer proximity to both cities, with Polk County emerging as an attractive option. Situated within an hour's drive of either metro area, Polk County has provided residents with the convenience of accessibility while offering more affordable housing options. However, recent trends indicate that even Polk County is no longer the affordable alternative it once was, rendering it an increasingly unattainable alternative for many.

According to Zillow, the Lakeland metro area, which lies within Polk County, has experienced a staggering 63% surge in home prices since 2019. This surge is reflective of a broader trend occurring throughout Florida, as the state has witnessed a substantial increase in population starting from 2020, despite the ongoing COVID-19 pandemic. In April 2019, Polk County had a median home price of $186,633. Just one year later, that figure had increased by over $10,000, nearly reaching a median price of $200,000 in April 2020. More recently, in April 2023, the median sale price of a home in Polk County reached a record high of $303,668.

Notably, these price surges are not limited to Polk County alone. Data collected by Florida Realtors indicates that between the first quarter of 2019 and the first quarter of 2023, the Tampa metropolitan area experienced a 66% increase in home prices, while the Orlando metro area saw a 57% rise. These figures mirror a statewide trend, with Florida as a whole witnessing a 58% surge in home prices during the same period.

Despite the escalating prices, Polk County remains an area of significant interest due to its advantageous geographical location and various economic factors. The Central Florida Development Council has compiled data illustrating that the district boasts an expansive 300+ acres of land and benefits from the presence of three deepwater seaports within 75 miles of the county, along with five international airports within the same proximity. These factors contribute to the county's growth trajectory, as Polk County currently holds the title of the fastest-growing county in the state.

While Polk County's real estate market has seen notable price increases, it is essential to highlight that home prices still remain at a comparative discount to Tampa and Orlando. Currently, homes in Polk County are priced at a 15.5% discount compared to Tampa and a 22% discount compared to Orlando. Despite the relative affordability, the rapidly rising prices in Polk County indicate that the area is gradually catching up with its neighboring metropolitan areas, posing challenges for prospective homebuyers in search of more affordable options.

As Polk County's desirability continues to grow due to its strategic location and economic opportunities, the surge in home prices is an inevitable consequence of increased demand. However, these developments also highlight the need to address the issue of housing affordability, ensuring that residents have access to housing options that line up with their financial capabilities. As the region continues to evolve and expand, striking a balance between growth and affordability will be crucial in preserving Polk County's appeal as a viable alternative to the higher-priced Tampa and Orlando metropolitan areas.

Thank you for your interest. If you are in need of Appraisal & Valuation Services in Polk County, contact:

Mike Cliggitt, MAI, MRICS, CCIM

863.661.1165 - Direct Line

findvalue@cliggitt.com

Polk County Appraisal & Valuation Services