Hang on tight, Florida. Your real estate market’s stuck on a rollercoaster nobody wanted to ride.

Mortgage rates are zooming past 7%, spooked by a bond market acting like a kid who lost their toy.

Canadian snowbirds, rattled by a weak dollar and Trump’s tariff talk, are dumping condos.

Homes are piling up, buyers are nowhere to be seen, and the Sunshine State’s housing dreams feel like a haunted cash drain.

It’s chaos, and it’s got echoes of Nixon’s 1970s economic circus—same vibe, new clowns.

Flash back to 1971. Nixon saw 5.8% inflation and thought, “I’ll fix this!” He grabbed a bat and swung at the economy like it was a piñata. Bam!

Wage-price controls froze everything—paychecks, groceries, you name it. He hoped for candy. Instead, he got empty bags and ticked-off shopkeepers. Stores ran dry, black markets popped up, and when the controls ended, inflation roared to 12.2%.

Now it’s 2025, and Trump’s taking his turn. His “Liberation Day” tariffs—10% on most imports, 145% currently on China—are his bat, promising jobs and riches. Surprise: prices for garden gnomes, solar-powered tiki lights, and fake palm tree stakes are jumping quicker than a gator in the Everglades.

This isn’t a new trick. The 1970s were an economic train wreck. Stagflation mixed crazy inflation, slow growth, and job losses into one big headache. Oil prices quadrupled in 1973 when OPEC flexed, and Nixon’s big spending on wars and programs lit the inflation spark.

Experts, hooked on old-school ideas, were lost: add money, and prices spiked; cut back, and jobs tanked. Nixon’s controls were like taping a broken window. Ring a bell? Trump’s tariffs are today’s shaky tape, raising costs without fixing trade. Florida’s homes, already wobbly, are left swaying.

Those 7% mortgage rates? Brutal. You’re chilling with a cold drink, picturing a beach house at 3%. Blink, and you’re gripping a 7% loan that screams “money trap.” In the ‘70s, rates hit a cruel 18%, making home buying a punishment. Oil shocks and inflation drove that nightmare; today, it’s bond market shakes.

Seven percent seems mild, but it’s still got buyers hiding under blankets, eyeing listings like they’re cursed. History says rates love to mess with us. Florida’s feeling it.

Nixon and Trump share a game plan: act bold, play tough, hope for cheers. Nixon’s controls were a 1972 election stunt, briefly taming inflation before the economy crashed. Trump’s tariffs are his big show, shouting “America First” while Florida’s snowbirds pack up and buyers vanish.

It’s like Prohibition in the 1920s—banning booze brought gangsters and secret bars; Nixon’s controls caused shortages; Trump’s tariffs could spark smuggling and price hikes. The market’s no piñata, fellas. Swing too hard, and the stick breaks.

Maybe it’s time to drop the bat and let the market catch its breath. For now, grab a snack—this rollercoaster’s got more loops to go.

Regards,
Jüri Preo
Head of Research
Palm & Property | Florida Investment Research

Research Note

Forget Miami’s glitz or Tampa’s hustle—Palmetto, a sleepy Manatee County town of 13,000, is quietly stealing the show as Florida’s newest real estate hotspot.

Nestled along the Manatee River, this under-the-radar gem is drawing investors and families alike with its affordability, growth potential, and small-town charm. As Florida’s broader market cools, Palmetto’s heating up.