Episode 71 December 2025 Market Report

Send us Fan Mail🔟 David and Julie reflect on the close out of the year 2025 and projections on the coming year 2026. 2025 was a recovery year for St. Petersburg real estate, following hurricane impacts and market disruption, with rebuilding and new construction accelerating across affected neighborhoods.Florida enters 2026 from a position of strength, with economic growth expected to outperform the nation, stabilizing home prices, and improving sales activity.December 2025 sales increased 8% year-over-year, signaling renewed buyer engagement after a slow holiday season.Absorption rate jumped to 31%, the strongest reading since before the storms, pushing inventory down to 3.6 months—a major improvement from mid-2025 levels.Active inventory fell to 3,148 homes, the lowest level since December 2024, indicating tightening supply.New listings dropped sharply in December, especially single-family homes (down 26% YoY), as many sellers paused during the holidays.Cash sales declined significantly, down 16.5% YoY, with more buyers returning to the market using mortgage financing—an important potential inflection point.2025 prices finished lower overall, with median prices down 6.3% and average prices down 7.3%, reflecting normalization after years of rapid appreciation.Median days to contract rose to 49 days, giving buyers more time for due diligence, insurance review, and financial decision-making.The $1M+ market rebounded strongly in December, with 96 luxury sales, showing renewed strength in higher-end and waterfront properties heading into 2026.Want to work with us? David Vann can be found  here, and Julie Jones can be found here! Reach out! We're nice, and we'd love to hear from you!