Florida and Texas Housing Markets Are Evolving—What It Means for Sarasota and Manatee in 2025

The real estate markets in Florida and Texas, once thriving during the pandemic boom, are undergoing notable transformations. Increased inventory levels are prompting price adjustments, which could bring both challenges and opportunities for buyers and sellers. Meanwhile, areas like the Northeast continue to experience home price appreciation, highlighting the diverse trends across the U.S. housing market.

This year, the REALTOR® Association of Sarasota and Manatee (RASM) also released its Year-End 2024 real estate market report, offering key insights into local trends. Together, these developments paint a picture of a market transitioning toward balance while maintaining opportunities for savvy buyers and sellers.

National Trends: Florida’s Shifting Landscape

During the pandemic, Florida’s real estate market surged due to an influx of buyers seeking warmer climates, lower taxes, and affordability. Florida and Texas led the nation in home construction to meet soaring demand.

However, as migration has slowed post-pandemic, inventory levels in these states have climbed. According to Reventure App, Florida and Texas combined had 261,000 active listings in January 2025—more than 200% higher than the 85,000 active listings in the Northeast.

“The downturn is happening in Texas and Florida, but the Northeast is still dealing with historic inventory shortages,” said analyst Nick Gerli. This divergence underscores the regional disparities within today’s housing market.

Sarasota and Manatee Counties: Local Market Insights

In Sarasota and Manatee counties, the 2024 market has shown signs of normalization, with extended time on the market and higher inventory levels. This trend mirrors the pre-pandemic market conditions of 2019.

Key Local Trends in 2024

• Single-Family Homes: Sarasota County recorded 7,486 single-family home sales, a 1.6% decline from 2023. The median sale price dropped slightly to $505,000 (a 1.9% decrease year-over-year) but remains 74.1% higher than pre-pandemic prices in 2019. In Manatee County, single-family home sales totaled 7,485, with a median price of $499,875—a modest 1.8% decline but still 57.2% higher than 2019 levels.
• Inventory Growth: Sarasota County's inventory increased to a 5.5-month supply, up from 4.4 months in 2023, marking a balanced market. In Manatee County, inventory reached a 4-month supply, reflecting a similar trend.
• Market Speed: The time to contract rose significantly, with Sarasota County homes averaging 49 days (an 81.5% increase year-over-year), while Manatee County homes averaged 52 days (up 57.6%).

RASM President Debi Reynolds remarked, “While we’re seeing a normalization in the market, sellers who purchased before the pandemic can still capitalize on significant equity gains.”

Opportunities and Challenges for Buyers and Sellers

For buyers, the growing inventory and slower market pace provide leverage to negotiate favorable terms. Redfin economist Chen Zhao highlights Florida as one of the best markets for buyers in 2025, offering both a wide selection of homes and room for negotiation.

For sellers, this market requires a strategic approach. While prices remain well above 2019 levels, Moody's Analytics economist Matthew Walsh notes that rapid price increases during the pandemic have led to some corrections as demand cools. Sellers who purchased their homes before 2019 may still find opportunities to benefit from significant equity growth.

Rising Inventory: A Path to Stability

While increased inventory may seem like a challenge, it’s ultimately a positive shift for the long-term health of the Florida housing market. As Gerli explains, “More inventory and lower prices will eventually bring buyers back.”

Locally, Sarasota and Manatee counties are well-positioned to benefit from this trend. With balanced inventory levels, the market offers opportunities for buyers and sellers alike to navigate these changing conditions effectively.

How The 941 Lifestyle Group Can Help

Navigating a dynamic real estate market requires expertise and a personalized approach. At The 941 Lifestyle Group, we specialize in guiding clients through the Lakewood Ranch and Sarasota markets with tailored solutions that align with your goals.

Our approach goes beyond the transaction—we’re lifestyle matchmakers, helping you find not just a home, but a community that fits your lifestyle. Whether you’re looking for a luxury waterfront property, an active retirement community, or a family-friendly neighborhood, we’re here to help you every step of the way.

Ready to Make Your Move?

If you’re curious about how these trends could impact your plans or you’re ready to explore your options in Lakewood Ranch and Sarasota, let’s connect.

Contact Adam Miller at The 941 Lifestyle Group at 941-374-7671 or adam@the941lifestylegroup.com.

For a deeper dive into the broader market trends, check out the full article on Newsweek: Florida and Texas Housing Market 'Dominoes' Have Fallen.

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