Down here, waterfront could mean a house on the river, an ocean-front condo (for that price), or a house with river access, i.e. on an inlet or canal.
Anything on the water, the real water, will be costly, even if it's not that great.
I am from the South, and grew up with a lake front summer cabin. It was a cabin, for sure, but it was on what was at the time the largest man made lake in the country, and the entire property was privately held. So, it was pretty expensive.
When we lived on the NC coast, I was well aware of the cost of “waterfront” property. I’ve lived in Florida, too, and know the state pretty well. But, to think that one could get just any kind of “waterfront” home for that price, at this time in our economy, totally stumps me. Especially in Florida.