Florida’s home affordability is increasingly challenging. The median home price in Florida hovers around $400,000. Rising interest rates significantly impact borrowing power; a 1% increase can reduce affordability by roughly 10%. A common rule of thumb is the 28/36 rule: no more than 28% of gross monthly income on housing costs (including property taxes, insurance) and 36% on total debt. Many Florida residents spend significantly more than 30% of their income on housing. Down payment requirements vary, with some programs offering as little as 3% down. Credit scores remain a crucial factor, with higher scores (740+) securing lower interest rates. Available loan options include conventional, FHA, VA, and USDA loans, each with different eligibility criteria and implications for borrowing limits.