In the early 20th century, land speculators discovered Florida, and businessmen such as Henry Plant and Henry Flagler developed railroad systems, which led people to move in, drawn by the weather and local economies. From then on, tourism boomed, fueling a cycle of development that overwhelmed a great deal of farmland.
Because of the collective effect on the insurance industry of the hurricane claims of 2004, homeowners insurance has risen 40% to 60% and deductibles have risen.
At the end of the third quarter in 2008, Florida had the highest mortgage delinquency rate in the U.S., with 7.8% of mortgages delinquent at least 60 days.A 2009 list of national housing markets that were hard hit in the real estate crash included a disproportionate number in Florida. The early 21st-century building boom left Florida with 300,000 vacant homes in 2009, according to state figures. In 2009, the US Census Bureau estimated that Floridians spent an average 49.1% of personal income on housing-related costs, the third highest percentage in the U.S.
In the third quarter of 2009, there were 278,189 delinquent loans, 80,327 foreclosures. Sales of existing homes for February 2010 was 11,890, up 21% from the same month in 2009. Only two metropolitan areas showed a decrease in homes sold: Panama City and Brevard County. The average sales price for an existing house was $131,000, 7% decrease from the prior year.[dubious ]