TAMPA, Fla. — Despite strains in the housing market, prices are not relaxing in the Tampa Bay and Orlando areas and across much of Florida.

The Federal Reserve is expected to raise interest rates later this summer, and property insurance is also getting more expensive with more insurance companies backing out of the state, a reality that is even hitting industry experts.

“I found out that I am being dropped personally,” said Robert Tough with EXP Reality. “The insurance carrier that I am using just announced yesterday that they are pulling out Florida, they are fleeing. So I am going to be forced to use Citizens as well, it looks like.”

Despite the obvious strains in the housing market, they aren’t stopping people from buying. A shortage of homes and rental properties on the market has led to elevated prices, that Tough says will persist into next year.

“I think that we’ll start to see something in the beginning of next year where the prices start to drop again, hopefully. But I believe it may be a time before we see anything significant.”

In Orlando, the median home price for June was recorded at $385,000, up from $378,000 in May, according to the Orlando Regional Realtor Association (ORRA). Median home prices have increased every month this year. according to an ORRA report. June 2023's median home price was close to June 2022, when it was recorded at $387,000.

New listings in Orlando rose 7.1% from May to June, with 3,703 new homes on the market in June, compared to 3,459 in May, the ORRA said.

Homes spent an average of 41 days on the market (DOM) in June, down from 45 days in May and 105% higher than in June 2022, when homes spent an average of 20 days on the market.

Overall sales in Orlando fell 0.8% from May to June, to 3,124.

“Now that we’re officially halfway through the year, Orlando’s housing market remains strong,” Orlando Regional Realtor Association President Lisa Hill said in a statement. “June’s housing data is a strong indication of what the rest of the year will look like. We can expect to continue to see more inventory and great prices for homes, which is good news for buyers and sellers.”

Tough said if you are in the market to buy a home right now, to consult a realtor to help you navigate the process.

Some issues for homebuyers are hyperlocal, meaning what may be the case for one sale in one neighborhood may be completely different somewhere else.

Year-over-year, Florida has seen an increase of 3.2% in home sale prices.