Back HomeSouth Florida Real Estate Outlook: 2025 Year-End & 2026 Forecast
The National Association of REALTORS® is forecasting a 14% increase in existing home sales in 2026, driven by higher inventory, modest affordability improvements, and a more accommodative Federal Reserve policy. NAR 2026 Housing Forecast
South Florida ended 2025 with improving momentum but mixed pricing trends. Year-end market reports showed rising sales activity in the second half of 2025, with average sale prices increasing approximately 4%–5% year-over-year to roughly $770,000. New listings and pending sales also increased, while the condominium market experienced softer conditions due to higher inventory and insurance costs. MIAMI Realtors® 2025 Market Statistics
Florida’s population growth continues to underpin long-term housing demand. The state’s population was revised to approximately 23.38 million as of April 1, 2025, and is projected to grow by an average of 305,953 residents per year from 2026 through 2030. Florida Demographic Estimating Conference
Looking ahead to 2026, South Florida is expected to transition into a more balanced and stable real estate market. Single-family home prices in the Miami–Fort Lauderdale–West Palm Beach metro area are forecast to rise modestly between 1% and 4%, while condominium prices are expected to stabilize following declines in 2025. Single-family home sales are projected to rebound by roughly 5% as mortgage rates ease. Realtor.com 2026 Housing Forecast
Mortgage rates are expected to average between 6% and 6.3% in 2026, providing incremental affordability relief. Inventory levels are projected to continue rising, offering buyers more choices and negotiating power. Freddie Mac Mortgage Rate Outlook
Kim N. Bregman