Florida consumer sentiment slips for sixth month

Floridians are less willing to make major household purchases as high borrowing costs and economic uncertainty keep pressure on household budgets, the University of Florida found.

Florida consumer sentiment declined for the sixth consecutive month in August, with residents growing more pessimistic about the national economy and more hesitant to make major household purchases

The University of Florida’s consumer sentiment index fell 1.9 points to 67.4, down from a revised July reading of 69.3. National consumer sentiment also declined during the month.

The Florida index is now 11.7 points below its February reading of 79.1 and 6.9 points below August 2025. Floridians’ willingness to buy major household items has dropped 9.1 points since February, according to UF’s full monthly report.

All five components used to measure sentiment fell in August, marking the second month of across-the-board declines.

Hector H. Sandoval, director of the Economic Analysis Program at UF’s Bureau of Economic and Business Research, said the weakness is not limited to just one aspect of the index.

Among the August findings:

• Floridians’ assessment of their current finances compared with a year ago declined one point to 62.8.
• Their willingness to buy a major household item, such as furniture or a refrigerator, fell 2.5 points to 59.5.
• Expectations for personal finances one year from now edged down 0.3 point to 79.9.
• Expectations for the U.S. economy over the next year recorded the largest decline, dropping 3.1 points to 65.4.
• The five-year outlook for the national economy fell 2.6 points to 69.6.

The results offer additional context for affordability conversations. A household budget doesn’t end with a home’s purchase price. Financing costs and purchases such as appliances and furniture can also shape how buyers evaluate what they can comfortably afford.

Sandoval said the trends indicate that “consumers are becoming more budget-conscious and cautious about discretionary purchases.”

Although inflation and gasoline prices have moderated recently, both remain elevated, UF said. Labor market conditions have also softened over the past year, while geopolitical uncertainty and trade policy changes continue to weigh on the outlook.

UF expects consumer confidence to remain subdued until inflationary pressures ease more substantially. Borrowing costs could remain elevated or rise further if the Federal Reserve acts to address persistent price pressures.

The survey was conducted from July 1 through Aug. 27 and included 358 Florida residents reached by cellphone. The results were weighted by county of residence, age and sex to reflect the state’s population.

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