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Florida’s mortgage market is in trouble

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Florida’s mortgage market is in trouble


Florida is one of the least affordable states in the country to buy a home, according to the latest data from the Mortgage Bankers Association, as high mortgage rates keep buyers out of the market.

Why It Matters

With its sunny weather, relaxed lifestyle, and relatively cheaper cost of living and housing, Florida attracted a flow of new residents during the COVID-19 pandemic. But those markets that boomed during the health emergency have experienced a rapid cooldown over the past year as inbound migration weakened and new inventory poured into the market.

The affordability strain caused by high mortgage rates and historically elevated prices, combined with the growth in inventory and skyrocketing homeowners insurance premiums, is likely to cause a cooldown in demand and a drop in prices across Florida, experts have said.

What To Know

The Mortgage Bankers Association uses the Purchase Applications Payment Index, also known as PAPI, to measure how affordable it is to buy a home in each state based on how much a mortgage plus interest on loans costs a household in relation to its income.

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In November, Florida had a PAPI of 209.9, lower only than that of Nevada (248.7), Idaho (244.2) and Arizona (220.7). The national PAPI, for comparison, was 163.3 in the same month.

While Florida has one of the least affordable mortgage payments in the nation in relation to residents’ wages, the interest rates for a 30-year fixed mortgage in the state are slightly lower than at the national level, according to Bankrate data. As of Tuesday, the national average 30-year fixed mortgage rate was at 7.09 percent. In Florida, it was 7.06 percent.

The cost of mortgages in Florida—one of the highest in the nation compared to residents’ income—is adding further strain to housing affordability in the state.

Photo Illustration by Newsweek/Getty Images

How Are High Mortgage Rates Affecting the Florida Market

According to Nick Gerli, a real estate analyst and the CEO of Reventure App, the lack of affordability in Florida explains “the big market slowdown” in the state.

“Home sales are down 40 percent from their pandemic peak. Inventory is at the highest level in nearly 10 years. And now prices are starting to drop. But not fast enough for homebuyers,” he wrote on X, formerly Twitter, on Monday.

“Florida’s mortgage payment as a % of income is one of the highest in America at 40 percent,” Gerli wrote. “For the average buyer, they need to spend around $30,000 on mtg, tax, insurance. Median household income across the state is $75,000.”

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What People Are Saying

Nick Gerli, the CEO of Reventure App, wrote on X: “Today’s 40 percent mtg payment/income ratio is unprecedented. The only other time it was close was the mid-2000s housing bubble. Before the big crash.”

The Senate Budget Committee wrote in a report published last month: “In certain communities, sky-high insurance premiums and unavailable coverage will make it nearly impossible for anyone who cannot buy a house in cash to get a mortgage and buy a home. Property values will eventually fall—just like in 2008—sending household wealth tumbling. The United States could be looking at a systemic shock to the economy similar to the financial crisis of 2008—if not greater.”

Sean O’Dowd, a real estate investor in Chicago, previously told Newsweek: “There’s not a single lender out there that I’m aware of that will give you a mortgage without proof of insurance. The problem is, if you have an insurance payment that’s just as much as the principal and interest payment for the mortgage, if you’ve got an insurance payment that’s five hundred bucks a month, you get to a situation where a homebuyer—especially a first-time homebuyer that doesn’t have a lot of capital to put down for the down payment—has such a weedy monthly payment with this huge insurance premium that they cannot afford to buy a house.”

What Happens Next

For Gerli, the combination of these factors—cooling demand, less inbound migration and growing supply—means the Florida market “is now turning.” His company is forecasting price declines across all of Florida’s housing market this year.

“These price declines will be welcome news to homebuyers, and finally start returning affordability to a housing market that sorely needs it,” he wrote.

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Other experts agree that prices will drop in parts of Florida throughout 2025. Redfin economist Chen Zhao previously told Newsweek that the best places to buy a home this year will be “markets in the Sun Belt, especially Florida and Texas,” which are “the weakest at the moment.”

Norada Real Estate Investments also identified three metropolitan areas in Florida—Gainesville, Palm Bay-Melbourne-Titusville and Lakeland-Winter Haven—as at “very high risk” of experiencing a downturn this year, with prices potentially dropping by as much as 15 percent.



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Florida

Bobrovsky blanks Leafs, quickly eyes ‘next one’

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Bobrovsky blanks Leafs, quickly eyes ‘next one’


SUNRISE, Fla. — It’s a formula the Florida Panthers keep using in the playoffs: take a lead after two periods, then let Sergei Bobrovsky and the defense do the rest. And it worked again.

Bobrovsky stopped 23 shots for his fifth career playoff shutout, Carter Verhaeghe and Sam Bennett scored and the Panthers defeated the Toronto Maple Leafs 2-0 on Sunday night in Game 4 to even the Eastern Conference semifinal series.

Florida has won 25 consecutive playoff games when leading after two periods, a streak that goes back to May 5, 2022. And in helping to tie the series, Bobrovsky officially put a slow start to rest. In Games 1 and 2 last week in Toronto, he allowed nine goals en route to two losses. He returned to Amerant Bank Arena on Friday night for Game 3, and allowed four more.

“It’s a series,” Bobrovsky said. “The bigger games are ahead, so we’re excited about them. The series comes down to a best-of-three, so it’s a big game, next one.”

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Home-ice advantage has held, and Toronto will hope that trend continues in Game 5 on Wednesday night. The Leafs won Games 1 and 2 at home, then dropped Games 3 and 4 in Sunrise.

“We had looks,” Toronto coach Craig Berube said. “They’re doing a good job of swarming us with numbers, obviously. … It’s a battle out there. This is what it is. They don’t give you a lot.”

Verhaeghe scored on a power play — Florida’s fourth of the game — in the first period, Bennett added the insurance score with 7:50 left and Bobrovsky did the rest for his second shutout of this postseason.

Joseph Woll stopped 35 shots for the Maple Leafs.

“He was great,” Berube said of his netminder. “He played an excellent game.”

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Verhaeghe’s goal came after Matthew Tkachuk, along the left-wing boards, threaded a pass through the slot and past two defenders. It found Verhaeghe — who slammed a one-timer past Woll.

That was part of an early spree for Florida. The Panthers took 21 of the game’s first 26 shots on net, controlling play for long stretches and keeping all the action in front of Woll. He held firm, time and again, keeping Toronto in it.

Bennett said enough. He came in from Woll’s left, with Verhaeghe opposite him, looking for a passing lane. When none appeared, Bennett went to the front of the net, watched Woll commit, then pushed the puck into the net before punching the air.

“That was more like the type of Panthers playoff hockey that we’re used to,” Bennett said.

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It got chippy late, as games this late in a series tend to do. Oliver Ekman-Larsson — part of the Florida team that won the Stanley Cup last season — delivered a shot to the head and neck area of Panthers forward Evan Rodrigues about five minutes into the third period. It was originally called a major, then downgraded to a minor after review.

Rodrigues will need further evaluation Monday, Panthers coach Paul Maurice said.

And four players — Toronto’s Max Domi for boarding Panthers captain Aleksander Barkov; and Toronto’s Bobby McMann, Florida’s Aaron Ekblad and Panthers forward Brad Marchand on his 37th birthday — all got 10-minute misconducts as time expired.

The Associated Press contributed to this report.



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New space in South Florida for moms, by moms

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New space in South Florida for moms, by moms


As we prepare to honor mothers this weekend, there’s a new place in town created by moms for moms. You’ve heard the saying “It takes a village…” — and this new center hopes to be just that.

Nicole Cumberbatch is an entrepreneur in Coral Springs, but she’s also a mother. She created The Motherhood Village, a community that started out with a podcast, a resource hub for moms, and now it’s a 5,000-square-foot family wellness center in Coral Springs. 

The Motherhood Village is a center that caters to newborns all the way to school-aged kids. There’s a STEM lab, a café, and a co-working space all under the supervision of a nanny.

“As a mom, it’s overwhelming to even pick what we’re going to have for dinner. So the fact that we can have one space that a mom can go, a safe space, a comfortable space that a mom can feel comfortable coming to and not thinking like, ‘Oh my God, wait. I need to do enrichment classes for my toddler, but then I need to get energy out for my big kid — like, where do I go?’,” said Cumberbatch.

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Nicole explained she created the space because she struggled to find indoor play centers that catered to older kids. But it’s more than just an outlet for children — The Motherhood Village also hosts events and seminars for moms, providing support through different phases of motherhood.

“The vision is just to make sure that moms feel supported, feel seen, and that they have a space that truly — from the beginning of their pregnancy, from the newborn area that we have, all the way through to their school-aged child — that we have a space for them here.”

On Friday, The Motherhood Village hosted a Mother’s Day retreat — and in a few weeks, they’ll be offering free mental health screenings. You can find out more at themotherhoodvillage.com.



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Pastor Is Accused of Sexually Assaulting 2 Girls at a Florida Church — and Allegedly Gave a Chilling Reasoning Behind the Abuse

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Pastor Is Accused of Sexually Assaulting 2 Girls at a Florida Church — and Allegedly Gave a Chilling Reasoning Behind the Abuse


NEED TO KNOW

  • A Florida pastor is accused of sexually assaulting two underage girls on church grounds
  • Yersson Solarte, 33, has been charged with sexual battery of a minor and lewd and lascivious molestation
  • The religious figure allegedly told one of the victims, “We only live once,” per The Miami Herald

A Florida pastor is facing legal trouble after being accused of sexually assaulting two underage girls on church grounds.

Yersson Solarte, 33, was arrested by the Prince William County Police Department in Virginia on Wednesday, May 7, during a coordinated effort with Florida’s Sanford Police Department (SPD). Authorities believe Solarte was on a “family trip” at the time of his arrest. He has since been charged with sexual battery of a minor and lewd and lascivious molestation.

Officials first learned of reports of an alleged “inappropriate relationship” between Solarte and two underage victims on April 10, which led them to launch an investigation, the SPD said in a statement shared on Facebook.

The SPD then claimed that the pastor “did inappropriately touch the victims” and sexually assaulted one of them at Ipul Pentecostal Church — or Iglesia Pentecostal Unida Latinoamericana Orlando Norte — in Sanford.

Both minors were members of the church, and Solarte has since been removed from his position, per the SPD.

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A contact for the Ipul Pentecostal Church did not immediately respond to PEOPLE’s request for comment. As of Saturday, May 10, Solarte’s name remains on the church’s website.

Stock image of police cruiser lights.

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According to an affidavit obtained by The Miami Herald, the first girl reported Solarte days after her most recent incident that allegedly involved him. The girl claimed that the religious figure made her sit on his lap and sexually assaulted her in both his office and the church’s multimedia room.

The outlet also reported, citing police, that the second girl claimed she was abused by Solarte multiple times. The girl alleged that Solarte “expressed his love for her,” before hugging her sister and trying to make her jealous.

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She also claimed that Solarte molested her in his office and during a “juvenile meeting,” and also “forcefully” grabbed her face to kiss her. The girl further alleged that the pastor unzipped his pants and said they were a “couple,” per the Herald.

At one point, the girl claimed that the pastor explained his reasoning behind the reported abuse, allegedly telling her, “We only live once,” the Herald reported, citing investigators.

Police are currently asking those with more information tied to the case to get in touch, as they said there “is a possibility” there are additional victims who haven’t yet come forward about Solarte — who ABC affiliate WPLG reported is a married father.

“People like this are a special class of criminal, who use their position of trust to prey on innocent victims,” Chief Cecil Smith said in a statement. “Solarte is now behind bars where he belongs.”

“We pray there aren’t any additional people who have been victimized by this man. If anyone has information about these crimes, or other victims, come forward and help protect our children,” Smith added.

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The pastor has since been transported to the John E. Polk Correctional Facility in Florida. It is not immediately clear if he has legal representation to comment on his behalf.

If you suspect child abuse, call the Childhelp National Child Abuse Hotline at 1-800-4-A-Child or 1-800-422-4453, or go to www.childhelp.org. All calls are toll-free and confidential. The hotline is available 24/7 in more than 170 languages.

If you or someone you know has been a victim of sexual abuse, text “STRENGTH” to the Crisis Text Line at 741-741 to be connected to a certified crisis counselor.



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