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Florida's Housing Market: New Pending Sales Rise in August 2025

In August 2025, Florida's housing market exhibited a continuation of trends observed in preceding months, yet marked a standout change with an impressive increase in new pending sales. According to the latest report issued by Florida Realtors®, the measure of homes that were put under contract surged notably compared to the previous year.

Significant Growth in Single-family Homes

The most compelling news stems from single-family homes, where new pending sales jumped by 9.9% in comparison to August 2024, marking the highest annual growth rate since November of the previous year. Dr. Brad O'Connor, Chief Economist at Florida Realtors, noted this uptick is the first substantial increase in year-over-year sales since early 2021. Such growth suggests a robust demand that is particularly impressive considering the real estate market's fluctuations during recent times.

Positive Trends in Condos and Townhouses

Additionally, the sales of condos and townhouses displayed a more modest yet significant rise of 4.9% year-over-year in August. This positive trend represents the first instance of yearly growth for these property types in several months. Dr. O'Connor mentions that this resurgence is an encouraging sign for the condo market, paving the way for potential recovery after a prolonged period of declines.

Low Mortgage Rates Fuel Market Activity

The notable rise in new contracts for homes can largely be attributed to the decline in mortgage rates, which hit their lowest levels of the year in early August and continued to drop towards the month’s end. As rates have eased, this trend has enabled buyers to secure better financing terms, resulting in elevated activity within the housing market. With the ongoing decrease in mortgage rates throughout September, analysts predict an even greater volume of buyers willing to enter contracts this month.

The Competitive Landscape of Florida Real Estate

Tim Weisheyer, President of Florida Realtors® for 2025, emphasizes that the Florida real estate market remains dynamic, with a steady demand for housing expected to persist as economic conditions stabilize nationally. As the Federal Reserve continues to adjust rates and more individuals relocate to the Sunshine State, competition among buyers will likely intensify. Weisheyer stresses the importance of consulting with local Realtors for guidance through this evolving landscape, as their expertise aids in price negotiations and understanding of local market dynamics.

Closed Sales and Median Prices

Despite the promising data regarding pending sales, closed sales painted a different picture. Statewide, the total for existing single-family homes was 21,798, reflecting a 3.9% decrease year-over-year, while condo and townhouse sales amounted to 7,424, down 6% from August 2024. It's pertinent to note that closed sales typically occur 30 to 90 days post-contract signature, indicating that August's pending sales growth might translate to increased closed sales in the coming months.

In line with the current trends, the median sales price for existing single-family homes recorded in August stood at $410,000, showing a slight decrease of 0.4% from the previous year. Similarly, the median price for condo-townhouse units was $290,000, which signifies a 6.5% drop over the same period. The median price serves as a vital metric, indicating that half of the homes sold for more and half for less than these figures.

Supply Dynamics of the Market

On the supply front, there were 5.3 months of inventory available for existing single-family homes, while condos and townhouses had 9.3 months of inventory. This data highlights a market that is beginning to stabilize, albeit with modest reductions in property values, particularly for condominiums.

Summarizing the data for August, Dr. O'Connor reflects, "Although we noted modest declines in home prices and closed sales while observing a reduction in new listings compared to the prior year, the surge in new pending sales is undoubtedly the most significant takeaway attributed to the declining mortgage rates." This market behavior underlines the ongoing impact of economic conditions on real estate dynamics, with potential implications for sustained activity looking ahead.

For a comprehensive view of Florida's housing activity, you can visit the Florida Realtors Newsroom, where the latest reports and market data are readily accessible.