Home Prices Stay Steady as Rents Decline and Inventory Expands
Florida’s real estate market in late 2025 is entering a more balanced phase. After years of rapid growth, price appreciation has slowed while rental prices edge downward. Increased inventory and elevated mortgage rates have cooled the pace of home sales, giving buyers and renters more leverage heading into 2026.
Residential Real Estate Trends – October 2025 Snapshot
| Metric | Florida (Oct 2025) |
| Median Home Price | $419,000 (+3.0% YoY) |
| Home Sales (annualized) | 409,800 units (+2.7% YoY) |
| Median Days on Market | 28 days (up from 24 days a year ago) |
| Housing Supply | 3.9 months (vs 3.2 months Oct 2024) |
| Average Rent | $2,350 (–$110 YoY, –4.5%) |
| Available Rentals | ≈ 110,100 statewide (Zillow) |
Home Prices Hold as Inventory Rises
Florida’s housing market remains resilient, with median home prices rising 3% year-over-year despite higher borrowing costs. The statewide average sits at $419K, reflecting moderate but consistent growth.
Sales volume is improving gradually as more listings come online. Inventory expanded to 3.9 months of supply, reducing bidding pressure and creating a healthier market equilibrium.
Homes are staying listed slightly longer — around 28 days on average — as buyers take time to evaluate options. This environment favors well-priced, move-in-ready properties.
Rental Market – Rents Ease After Pandemic-Era Highs
According to Zillow Rentals (Nov 2025), the average Florida rent for all bedroom types is $2,350, down $110 from 2024.
- Month-over-month change: –$35
- Year-over-year change: –$110 (–4.5%)
- Available rentals: ~110,121 listings statewide
The slowdown in rent growth reflects increased housing supply and stabilized demand after years of double-digit hikes.
Regional highlights:
- Miami-Dade County: Rents down ≈ 5% YoY as inventory rises in new condo developments.
- Orlando & Tampa: Rents down ≈ 3% YoY with steady tenant demand and new multifamily openings.
- Jacksonville & Tallahassee: Rents flat or slightly up ( +1–2% ) due to local job growth and affordable price points.
Landlord Tip: With competition rising, offering move-in credits or renewal discounts can help retain tenants and reduce vacancy rates.
Investor Activity – Focusing on High-Yield and Vacation Markets
Florida remains a top destination for property investors, particularly those seeking cash-flow opportunities or vacation rental income.
- Investor share: ≈ 19% of purchases (Q3 2025)
- Top markets: Tampa, Orlando, Cape Coral, and Jacksonville
- Strongest growth: Short-term rental markets near Disney and the Gulf Coast (+8% YoY investor transactions)
- Investor focus: Single-family homes and condos under $500K with strong rental yields (4–6%)
Rising insurance costs and HOA fees have made some markets less profitable, but the state remains appealing for long-term income and appreciation.
City-Specific Market Highlights – Fall 2025
| City | Median Price | Avg. Rent | Key Insight |
| Miami | $580K (+3.5%) | $3,200 (–5.0%) | Luxury condo inventory rising; tenants gaining leverage. |
| Orlando | $430K (+2.8%) | $2,400 (–3.0%) | Strong tourism and tech jobs balance demand. |
| Tampa | $450K (+3.1%) | $2,450 (–3.2%) | New multifamily units boost supply; rents normalizing. |
| Jacksonville | $380K (+3.9%) | $2,050 (+1.5%) | Steady employment growth; affordable ownership market. |
| Fort Lauderdale | $555K (+2.6%) | $2,880 (–2.0%) | Downtown rental demand holding; condo sales steady. |
| Cape Coral | $410K (+3.2%) | $2,200 (–1.0%) | Investor interest returns; supply still limited. |
| Tallahassee | $330K (+3.4%) | $1,750 (+1.0%) | Government and university demand sustain stability. |
Mortgage Rates and Affordability – Late 2025 Snapshot
Mortgage rates remain between 6.7 and 7.0%, limiting affordability for first-time buyers but encouraging rental demand.
- Average mortgage payment on a $400K loan ≈ $2,650 per month.
- Builders offer rate buy-downs and closing credits to attract buyers.
- Construction permits up 4.1% YoY, mainly in Central and South Florida.
Policy and Regulatory Updates Impacting Florida Real Estate
- Property Insurance Reforms (2025): New laws aim to reduce litigation and stabilize premiums after recent storm seasons.
- Affordable Housing Initiatives: State programs expanding tax credits for workforce housing projects.
- Short-Term Rental Regulations: Local governments in Miami Beach, Orlando, and Sarasota tightening rules on vacation rentals to preserve neighborhood balance.
2025 Tips for Florida Buyers, Landlords, and Renters
For buyers: Use rising inventory to negotiate seller credits and secure better financing terms.
For landlords: Focus on tenant retention and property upgrades to stay competitive.
For renters: Late 2025 is an ideal time to shop around — rent reductions and move-in deals are becoming common across major metro areas.
A More Sustainable Florida Market
Florida’s Fall 2025 housing market reflects stability and maturity. Prices are steady, rents are softening, and inventory is rising at a manageable pace.
While affordability pressures remain, the market is positioning for long-term health rather than speculative growth.
For investors and property owners, this represents an opportunity to focus on steady income and tenant quality rather than short-term price fluctuations.
Contact Intempus Property Management to learn how we can help you navigate the Florida real estate market with data-driven strategy and expert management.
Explore Real Estate Trends Across 9 States
Our full Fall 2025 Real Estate Market Update – Regional Trends Newsletter includes in-depth analysis of market conditions in:
California, Florida, Ohio, Tennessee, Indiana, Nevada, South Carolina, Georgia, and Virginia.
📥 Download the PDF Newsletter Now to compare regional performance, track rental trends, and access expert insights.
Sources: Local REALTOR® associations and industry reports, Zillow Rental Data, Redfin Research, and state-specific market analyses
