The speculative episode that preceded the 1929 crash was the Florida land boom.
During the early and mid-1920s, investors bought Florida property expecting prices to keep rising. Promotional campaigns, easy credit, and the arrival of railways helped attract buyers from across the United States. Many purchasers paid deposits and planned to resell contracts at higher prices rather than develop the land.
The boom weakened in 1926. A major hurricane struck the Miami area, transportation bottlenecks disrupted construction materials, and speculative demand faded. Prices then collapsed, leaving some buyers unable to complete purchases and developers unable to repay debts.
The Florida land boom did not cause the Wall Street Crash of 1929 by itself. It is better understood as an earlier example of a speculative bubble and a warning about leverage and rising prices. The crash also involved broader national issues, including industrial overproduction, bank failures, and margin-financed stock purchases.