As we reach mid-2025, the local real estate market is showing signs of notable improvement and shifting dynamics. One of the most significant changes is the sharp drop in housing inventory—from nearly 15 months’ worth of homes available at the start of the year to just about 8 months today.

This data, sourced directly from the Southwest Florida MLS (SWFL MLS), highlights a meaningful tightening of supply across our region.

 Buyer Activity on the Rise

This dramatic reduction in inventory reflects growing buyer confidence and increased activity in the market. While we’re not yet in a seller’s market (typically marked by 6 months of inventory or less), the shift is clear: the excess supply that defined the early part of the year is being steadily absorbed.

Median Sale Prices Adjusting Gradually

Alongside inventory tightening, home prices have seen a mild adjustment. The median sale price has moved from $446,000 in January to around $400,000 today. While this reflects a softening from earlier in the year, prices have now leveled out and are showing signs of stability. This gradual reset may offer new opportunities for buyers while still protecting long-term equity for sellers.

Median Days on Market

Another metric holding steady is the median days to sell, which has been floating between 50 and 60 days. This suggests homes are still moving at a reasonable pace—slower than during the pandemic-era frenzy but faster than in sluggish buyer markets of the past.

What’s Driving the Change?

Several factors are contributing to these trends. Mortgage rates have begun to stabilize after a period of volatility, drawing more buyers off the sidelines. At the same time, sellers are adjusting expectations, leading to more realistic pricing and quicker movement of well-positioned homes.

What It Means for Buyers and Sellers

For buyers, the current market offers a balance: there’s still a relatively wide selection compared to boom-era lows, but homes are not sitting as long—meaning decisiveness and strong offers matter. For sellers, this is a welcome sign that demand is returning and that listings priced correctly have a solid chance of closing quickly.

 Let’s Talk Strategy

Whether you’re considering buying, selling, or investing, understanding the shifting inventory landscape is key to making smart real estate decisions. If you’re curious how these trends impact your neighborhood or your property value, let’s connect.

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