SWFL Real Estate: Fourth Quarter 2025 Report
January 08, 2026 / RERI Research Team
Southwest Florida Real Estate Fourth Quarter 2025 Report
During the third quarter of 2025, the residential market in Southwest Florida continued to reflect ongoing adjustments in the post-pandemic and post-hurricane housing landscape, as evidenced by the latest data available. Single-family home sales in the region have come down over the past year (down 1 percent), reflecting cooling from the 2021 to 2022 peak. Condominium sales declined more sharply, falling 19 percent compared to the same quarter last year. Single-family and condominium real median prices in the region also continued to fall, with year-over-year declines observed across most Southwest Florida counties. The percentage of total housing units that were actively listed remained higher than a year ago in most counties.
Housing affordability broadly improved in Q3 2025, as measured by the Home Affordability Index (HAI). Lee and Charlotte counties held HAI values comfortably above 1.0, while Collier’s all-residential index rose above parity to 1.02, though it remains the least affordable among the coastal counties. For single-family homes, Charlotte posted double-digit year-over-year gains in their HAI measures, and Collier’s single-family index, while still below 1.0, also improved 11 percent. Real median rents fell between 3 and 4 percent year-over-year across all three coastal counties, though they remain elevated compared to pre-pandemic levels.
In the commercial sector, property sales in Q3 2025 continued to soften across most major property types, with retail and entertainment transactions declining from a year earlier and office sales essentially flat. Real median prices per square foot for retail and office properties moved lower year-over-year, while entertainment property prices showed mixed patterns, declining at the regional level but increasing sharply in Charlotte County.
Other findings from the latest report include:
- Residential property sales continued to decline from Q3 2024 to Q3 2025, including a 1 percent decline in single-family home sales and a 19 percent decrease in condominium sales.
- Real median prices for single-family homes and condominiums in Southwest Florida also declined in Q3 2025, with single-family home prices falling 7 percent and condominium prices falling 8 percent from Q3 2024.
- The Housing Affordability Index (HAI) for all residential properties improved across all three coastal counties in Q3 2025, with improvements ranging between 8 and 25 percent over Q3 2024.
- Major commercial property types generally experienced softer sales in Q3 2025. Retail property sales dropped 25 percent, office sales declined 2 percent, and entertainment property transactions fell 17 percent compared to Q3 2024.
Downloads:
Southwest Florida Real Estate Fourth Quarter 2025 Report
Note:
A recent review of our current methodology discovered a potential issue with our handling of property appraiser data from the Collier County office. Beginning with the 2025 Q4 report, we will begin to report all historical Collier County data with the new updated information. See our erratum below for more information.
Acknowledgments:
This report is the product of a collaborative effort between the Regional Economic Research Institute and the Lucas Institute for Real Estate Development and Finance. We would like to thank the various property appraiser offices for providing the data that made this analysis possible.
Share Post
