Which 1920s market collapse began after the speculative bubble in Florida real estate burst?

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The 1920s market collapse that began after the speculative bubble in Florida real estate burst was the Florida land boom collapse.

During the early 1920s, investors and promoters marketed Florida property as a rapidly appreciating opportunity. Buyers often purchased parcels with small deposits and planned to resell them at higher prices. Rail expansion, tourism, advertising, and easy credit helped drive speculation.

The boom weakened in 1925 as transportation bottlenecks, legal restrictions, rising costs, and buyer exhaustion reduced demand. A major hurricane in 1926 further damaged confidence and property values. The collapse caused financial losses and failures among developers and lenders, although it was not itself the direct cause of the 1929 Wall Street Crash.

The Florida episode is often confused with the later national stock-market crash because both involved 1920s speculation. Florida’s boom centered on land and property, while the 1929 crash centered on securities markets.

Source: Wikipedia · fact-checked Oct. 2026

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