F
lorida's housing market is a complex story, with some areas experiencing significant price drops and sales declines. While Cape Coral has seen a notable 9.6% decline in median sale prices for single-family homes, other metropolitan areas are feeling an even greater squeeze.

    When analyzing the statewide data for May 2025, focusing on single-family homes, I looked for metropolitan areas that showed more aggressive year-over-year declines in median sale prices or a combination of significant price and sales drops compared to Cape Coral-Fort Myers MSA's -9.6% price change and -1.4% sales change.

    Here are four specific MSAs standing out:

    1. Naples-Immokalee-Marco Island MSA: Down 15.3% in closed sales year-over-year, with a sharp 19.2% decrease in median sale price.

    2. Punta Gorda MSA: Up 1.7% in closed sales year-over-year, but with a significant 14.5% decrease in median sale price.

    3. Sebastian-Vero Beach MSA: Down 6.8% in closed sales year-over-year, with a 10.2% decrease in median sale price.

    4. North Port-Sarasota-Bradenton MSA: Down 4.7% in closed sales year-over-year, with a 9.9% decrease in median sale price.

    These areas are experiencing sharper adjustments due to various factors such as luxury market sensitivity, post-hurricane recovery paths, prior price appreciation, and inventory ratios. A higher supply of homes for sale, especially when combined with lower demand, puts downward pressure on prices.

    A market correction isn't a disaster, especially in Florida, which remains a highly desirable place to live. Today's market is nothing like the Great Financial Crisis; inventory levels are still well below 2008 figures. For potential buyers, these shifts represent opportunity, with more inventory meaning more choices and less competition.

    Local expertise matters more now than ever, as a good Realtor can explain the hyper-local nuances of your specific neighborhood, the current insurance climate, and effective pricing strategies. In these evolving times, preparation and expert guidance truly make all the difference.