Florida’s real estate market is undergoing a notable shift: there are more homes for sale, but fewer buyers are actively making offers.

While that may sound like a red flag, real estate experts say it’s not necessarily a negative trend.

According to a recent report from the Florida Realtors Association, housing inventory has increased compared to pre-pandemic levels. However, prices have remained high, which has caused a slowdown in buyer activity.

Melanie Atkinson, an agent with Compass Realty, said the key to understanding the current market is to stop comparing it to pre-COVID conditions.

“Before the pandemic, Florida saw a surge of new residents, yet there were only about 4,000 homes available,” Atkinson explained to Bay New 9. “That kind of demand pushed home prices up quickly.”

Now, with around 22,000 homes listed and the influx of new residents slowing, the market is finding a new equilibrium.

Though home prices haven’t dropped significantly, Atkinson argues a dramatic drop wouldn’t be helpful.

“It’s like gas prices,” she said. “After getting used to $4 a gallon, paying $3.75 feels like a win—even if it used to be $2.50. Everything is elevated. To get back to old prices, you’d have to erase years of built-up equity.”

Atkinson believes the real solution to improving affordability isn’t slashing home prices—it’s reducing the overall cost of home ownership, including interest rates, insurance premiums, property taxes, HOA dues, and utility costs.

One major contributor to the growing inventory is the condo market. Atkinson noted that sales have slowed dramatically due to stricter state requirements put in place after the Surfside condo collapse.

“The cost of owning a condo has nearly doubled,” she said. “And as a result, buyers are pulling back, causing condo listings to pile up.”

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