6 Things More Expensive in Florida than Most States

13/04/2024

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Florida, often known as the Sunshine State, is not just famous for its beaches, amusement parks, and vibrant cultural scene; it also has its share of higher-than-average costs in several key areas. Here’s a look at six things that tend to be more expensive in Florida compared to other parts of the United States:

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Homeowners Insurance

Florida’s homeowner insurance rates are among the highest in the nation. The state’s susceptibility to hurricanes, floods, and other natural disasters drives up the cost of insurance premiums dramatically. In some coastal areas, the cost of homeowners insurance can be several times higher than the national average.

Average Homeowners Insurance Cost in Florida: $2,625/year

Average Homeowners Insurance Cost in United States: $1,915/year

Property Prices

In popular areas such as Miami, Tampa, and Orlando, property prices have skyrocketed over recent years. The high demand for housing in these booming metro areas, coupled with Florida’s appeal to both domestic and international buyers, keeps real estate prices steep.

Average Home Cost in Florida: $392,306

Average Home Cost in US: $354,179

Electricity

Floridians pay higher-than-average rates for electricity. This is partially due to the state’s almost year-round hot weather, which increases the demand for air conditioning. Additionally, much of the state’s electricity is generated from natural gas, prices of which can fluctuate significantly. According to energysage, “On average, Florida residents spend about $222 per month on electricity. That adds up to $2,664 per year. That’s 17% higher than the national average electric bill of $2,281.” Not quite as expensive as other states such as Hawaii and New Hampshire, but still higher than the national average.

Car Insurance

Auto insurance rates in Florida are also among the highest in the country. High levels of traffic accidents and insurance fraud contribute to this trend, making it more costly for Florida residents to insure their vehicles.

Average Car Insurance Cost in Florida: $1,385/year

Average Car Insurance Cost in US: $549/year

Tourist Attractions

Florida’s major tourist attractions, such as Disney World, Universal Studios, and other theme parks, come with high ticket prices. These attractions are a significant part of Florida’s economy, but they can be a considerable expense for residents who wish to visit more than occasionally.

Construction Costs

Building a new home in Florida can be more expensive than in many other states. This is due to stringent building codes designed to withstand hurricanes, the cost of hurricane impact windows, and higher insurance requirements, all of which add up.

Average Construction Cost in Florida: $110 per square foot.

Average Construction Cost in US: around $110 to $220 per square foot

Conclusion

While Florida offers a desirable climate and vibrant lifestyle, living in the Sunshine State comes with a higher price tag in many respects. Potential residents and those planning to stay long-term should consider these factors carefully as part of their financial planning.

Editor’s note: This article was produced via automated technology and then fine-tuned and verified for accuracy by a member of GOBankingRates’ editorial team.