Rei Mesa, President & CEO, Berkshire Hathaway HomeServices Florida Realty

Invest: sat down with Rei Mesa, president and CEO of Berkshire Hathaway HomeServices Florida Realty, to discuss the state of Florida’s luxury real estate market, the evolving industry landscape, and how Berkshire Hathaway’s full-service approach supports clients in navigating these changes.

What have been some recent highlights or significant updates for Berkshire Hathaway Realty?

As we focus on increasing real estate sales in 2025, it’s important to recognize that what we do today impacts results 60 to 90 days from now. Therefore, timing is crucial early in the year for strategic planning which gives us a clear sense of how to best support our customers and Sales Professionals effectively.

A major development in 2024 was the shift in the United States real estate market following the Aug. 17 court ruling, which I know many in our industry are still navigating. I’m pleased to say, though, that even with this shift, we’re continuing to close transactions, and both sellers and buyers are starting to understand the evolving dynamics of the market. Sellers, in particular, are learning about the importance of staying engaged in the process and the value of fairly compensating agents for the vital role they play in transactions. Buyers, too, increasingly recognize the expertise that agents bring to the table, helping ensure a smooth and well-informed experience.

What specific benefits do buyers and sellers experience by choosing a professional agent in today’s market?

Working with a professional agent is comparable to consulting any other expert. If I had a toothache, I’d go to a professional dentist; for my taxes, I’d work with a CPA. Similarly, if I need legal assistance, I’d turn to an attorney. Realtors are professionals who understand the market intricacies, even with all the technology available to consumers today. While buyers and sellers now have access to plenty of information, interpreting that data accurately and making well-informed decisions require expert guidance.

Our agents go beyond the traditional “Realtor” title. I consider them trusted advisers who help both buyers and sellers understand their options and weigh the relevant statistics and information before making significant decisions, whether they’re buying, selling, renting, or leasing. Real estate is highly local, which makes on-the-ground knowledge incredibly valuable. We aren’t just in the communities; we’re part of them. Our agents live, work, and volunteer within these communities, and this immersion helps us to understand the unique needs of each area and build genuine relationships. When buyers and sellers work with agents who are integrated into the community, they benefit from insights and connections that only come with local expertise.

How would you characterize the luxury real estate market in Florida?

Florida’s luxury market is thriving, in large part due to our favorable climate, tax benefits, and pro-business regulatory environment. Our state has no income tax, which is attractive for many people, especially those considering a permanent move or business relocation here. Additionally, Florida’s construction and zoning standards have improved significantly since Hurricane Andrew in 1992, which is reassuring for anyone investing here.

Florida’s cultural diversity is a major asset. South Florida alone is home to a multitude of languages and cultures, making it an internationally appealing destination. Although Miami remains a focal point for luxury buyers, other cities like Orlando, Naples, Fort Myers, and Jacksonville are experiencing impressive growth. This diversity means that buyers can find any lifestyle they’re seeking in Florida — whether that’s a bustling urban environment, a laid-back beach town, or something in between.

With our wonderful weather for most of the year, Florida has become a year-round attraction. People from colder regions often seek a second home here to escape harsh winters, and we are proud to provide that option across a wide range of cities and property types. In short, while Florida has long been attractive, the reasons to invest here continue to multiply.

Since Berkshire Hathaway operates across Florida, which areas present the most growth potential?

Every area we’re in has substantial growth potential, but there are some especially promising markets. For instance, Ocala and Mount Dora are very affordable and are seeing an influx of residents from both within and outside the state. Sarasota, Naples, Fort Myers, and Bonita Springs are also experiencing rapid growth, as are areas around Palm Beach and Jupiter. We’re even seeing strong interest in Stuart and Palm City as people look for affordable options on the coast. And in Gainesville, traditionally a college town, we’re witnessing a shift as more people make it their year-round residence.

Orlando deserves a particular mention. It’s growing by leaps and bounds, attracting residents who are drawn to its combination of job opportunities, affordability, and entertainment options. Overall, these markets offer a range of choices to meet different lifestyle and financial needs, allowing us to serve a broad base of clients.

Is the rise in insurance costs in the Florida real estate market more strongly tied to natural conditions like hurricanes, or are other factors also at play?

It’s definitely a mix of factors, with natural disasters playing a large role, but it’s not just hurricanes. Nationwide issues like wildfires, tornadoes, and earthquakes affect the entire insurance industry. Since many insurance companies operate nationwide, events in other states impact costs here in Florida as well.

In Florida, we’re also dealing with new requirements for older condominium buildings that need recertification, a process instituted after recent incidents raised safety concerns. This added responsibility is critical for safety but does have financial implications. Some associations don’t have the reserves to cover the costs, which can lead to special assessments that impact current owners. Buyers may also be hesitant to invest in buildings with looming assessments, and without these certifications, some properties may become uninsurable. While this presents a challenge, I’m confident that our industry will adapt and that, in the long run, these measures will benefit everyone by enhancing safety and property value.

What is your outlook for the future of real estate in the region?

I’m very optimistic about the future of real estate, particularly in Florida. I’m often asked when is the best time to buy real estate, and my response is that the best time was 20 years ago. The second-best time is now because, in 20 years, people will look back and be glad they invested. Real estate is not only a pathway to building equity and financial security, but it’s also a necessity. As long as people need shelter, real estate will continue to be a valuable asset.

While the market has seen slowed sales and increasing inventory in recent times, I believe these changes are healthy and create a balanced environment. With interest rates gradually decreasing and more properties becoming available, we’re entering a period that can offer great opportunities for buyers. I’d advise clients not to wait indefinitely for the perfect rate; if a current rate is manageable, they can refinance later if rates drop. The key is finding the right property, as holding off too long might mean missing out on the ideal home.

In real estate, supply and demand ultimately drive values. While there’s a lot of noise around transaction costs, interest rates, and other factors, supply and demand remain the fundamental forces. When demand outweighs supply, prices increase, and when there’s more inventory than buyers, prices tend to decrease. This reality underscores the importance of entering the market at a time that works best for individual circumstances, and our team is here to provide that trusted guidance.