Spring 2025 Is a Tough Time to Sell a Home in Florida: Here’s Why

It’s a tough time to sell a home in many parts of Florida, and we expect these conditions to persist for the foreseeable future.

Here are five things you should know right up front:

1. Florida homes are taking longer to sell in 2025, with a median time on market of 75 days—well above the national average.
2. Sellers face stiff competition due to a surge in housing inventory, high mortgage rates, and elevated home prices that have reduced buyer demand.
3. Economic uncertainty, rising insurance costs, and falling home prices are making buyers more cautious, especially in storm-prone or high-cost areas.
4. Condo sellers face additional challenges, including stricter regulations and buyer concerns about future costs, leading to weakened demand.
5. Sellers can still succeed by being strategic, including setting a competitive price, offering buyer incentives, staging professionally, and being open to negotiation.

In this report: We examine some of the reasons why 2025 is a tough time to sell a house in the Sunshine State, and what homeowners can do to overcome the odds.

Florida Homes Taking Longer to Sell in 2025

The Florida housing market continues to exhibit signs of cooling in spring 2025. One metric that demonstrates this is the median days on market, also known as the median time on market.

Recent reports have shown that Florida homes are taking longer to sell compared to just a year ago, and notably longer than the national average.

Data compiled from real estate brokerage Redfin indicates that the median days on market (DOM) for homes in Florida reached 75 days in March 2025.

In other words, it takes the typical home about two and a half months to receive an offer and go under contract, after first coming onto the market.

That’s an increase of more than 20 days from the 53-day DOM recorded in March 2024. This indicates a significant slowdown in the pace of sales across the Sunshine State.

The Biggest Challenges for Sellers

Home sellers in Florida are currently dealing with a perfect storm of factors that have cooled the market and reduced demand.

Here are some of the biggest challenges sellers are facing, as of spring 2025:

1. There are a lot more homes on the market in 2025.

Florida has experienced a major increase in the number of houses for sale, giving buyers more choices and making it harder for sellers to stand out.

In spring 2025, the state of Florida had about a 7.5-month supply of homes for sale, well above the national average of 3.5 months.

The following graph was created using data from Redfin. As you can see, Florida currently has more housing market inventory than most states in the U.S.

This is partly why it takes so long to sell a home. Sellers in the Sunshine State have a lot of other properties to compete with.

Steady inventory growth has given home buyers more properties to choose from, while making it difficult for individual sellers to stand out.

2. Mortgage rates refuse to come down.

Last year, many forecasters predicted that mortgage rates would drop steadily throughout 2025, increasing affordability for home buyers. But so far, that hasn’t happened.

While rates did decline a bit at the start of this year, the general consensus now is that they will stay in their current range for the foreseeable future.

In a forecast published in April 2025, the Mortgage Bankers Association predicted the average rate for a 30-year mortgage would hover between 6.6% and 6.8% for the rest of this year.

Higher rates eat into affordability and reduce demand for homes, making it harder to sell a property in Florida.

A significant rate drop would bring more buyers into the market, making it easier to sell a home. But that scenario doesn’t appear likely anytime soon, according to experts.

3. Home prices are a lot higher than before the pandemic.

Home prices in Florida have declined a bit over the past year. But they’re still significantly higher than before the pandemic, and that reduces the pool of qualified buyers.

The COVID pandemic caused an unprecedented surge in home buying activity, driving inventory levels to record lows. This sent home prices skyrocketing.

Consider the evidence:

• In April 2020, Florida’s median home price was $253,000.
• In April 2025, the median price had risen to $386,000.

That’s a 52% increase in home values in just five years, miles above the historical average.

Higher home prices combined with still-elevated mortgage rates have shrunken the buyer pool. In 2025, a smaller percentage of Florida residents can afford to purchase a home.

4. Economic uncertainty has made buyers hesitant.

You’ve probably heard the phrase “economic uncertainty” mentioned a time or two in recent weeks. It’s the latest buzzword among economists, and with good reason.

Recent surveys have shown that consumers are becoming increasingly pessimistic about the economy and their place within it. Rising prices, Trump’s obsession with trade wars, and the threat of a recession top the list of reasons why.

All of this uncertainty is causing some potential home buyers to stay on the sidelines, adding to the challenges faced by sellers.

5. Home insurance costs keep going up.

Florida homeowners face some of the highest property insurance premiums in the country. In many coastal counties, annual premiums exceed $5,000 – $7,000, eroding affordability and discouraging potential buyers.

In addition, HOA and flood‐mitigation fees have climbed, with some communities adding $1,000 – $2,000 per year in special assessments.

Even if potential buyers can manage the mortgage payments at the current interest rates, these additional homeownership expenses can make the total cost of owning a home prohibitive. This decreases demand among buyers and makes it harder to sell.

Reduced demand in storm-prone areas also puts downward pressure on home prices, making buyers even more hesitant to enter those markets. For example, cities like Cape Coral and Fort Myers are expected to see a continued decline in home prices over the next year.

6. Buyers are also worried about falling prices.

According to recent data, single-family home prices have declined in 66% of Florida’s metro areas over the past year. Condo prices have fallen in 92% of tracked Florida markets.

The statewide median home value declined by 2.5% over the past year, according to Zillow. Some markets, like the Cape Coral-Fort Myers metro area, have experienced year-over-year price declines as high as 7%.

Home buyers are often reluctant to buy a home in a market with declining prices, and rightfully so. No one wants to purchase a steadily depreciating asset. This makes it even harder to sell a house in Florida, particularly in cities that are experiencing price erosion.

Additional Challenges for Condo Sellers

Sellers of condominiums and townhouses in Florida are encountering a unique set of challenges that differ from those faced by sellers of single-family homes.

Data indicates that the market for condos and townhouses has shifted firmly into buyer’s market territory, with a higher months’ supply compared to single-family homes.

This puts condo sellers in a weaker negotiating position.

There are several reasons for this trend. Chief among them: prospective condo buyers have growing concerns regarding insurance coverage and compliance with new reserve requirements for some condominiums.

Following the tragic Surfside condo collapse, new state-mandated regulations require stricter structural safety inspections and the establishment of adequate reserve funds for future repairs and maintenance.

These new requirements are making some potential condo buyers hesitant, as they anticipate the possibility of higher future costs in the form of special assessments and increased HOA fees.

This uncertainty and potential for increased expenses have led to a notable decrease in buyer demand for condominiums, as evidenced by the lowest number of condo and townhouse sales recorded in Florida since 2010.

In 2025, Florida condo sellers should be mindful of these concerns and adjust their pricing strategy accordingly based on local market conditions.

Seller Strategies for Negotiating These Challenges

The good news is that strategic solutions exist for many of these challenges. Here are some proactive steps Florida sellers can take to secure offers in a slower market.

1. Price the home competitively from day one.

It’s crucial to price homes realistically based on current market conditions and recent sales of comparable properties in the immediate area. Overpricing can lead to prolonged time on the market and eventual price reductions.   

2. Highlight key features or amenities.

Sellers can also emphasize desirable features within their listing descriptions and other marketing materials. This might include updated kitchens and bathrooms, smart home technology, or appealing outdoor living spaces. Distinguishing your home from comparable properties could lead to a quicker sale.

3. Consider using incentives to attract buyers.

Offering incentives to potential buyers, such as assistance with closing costs or temporary mortgage rate buy-downs, can make a listing more attractive.   

4. Be prepared to negotiate the price and other terms.

Depending on what part of Florida you live in, buyers might have more bargaining power. So be prepared for negotiations and try to be flexible when it comes to pricing. A hardline attitude might cause your home to stay on the market for a much longer period of time.

5. Highlight the upsides when selling a condo.

Condo sellers should be transparent about the condominium association’s reserve requirements and any upcoming assessments. Highlighting recent building upgrades or the strong financial health of the association can help alleviate buyer concerns.

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