Florida’s housing market leveled off in August 2026 as higher mortgage rates brought an end to several months-long growth streaks, according to data released by Florida Realtors. Statewide closed sales for existing single-family homes dropped 1.4% year-over-year to 21,497, while existing condo-townhouse sales fell 1.8% to 7,291.
Mortgage Rates End Statewide Growth Streaks
The recent cooling trend follows nearly a full year of steady gains across the state’s residential sectors. According to Florida Realtors Chief Economist Dr. Brad O’Connor, August data closed the book on 12 consecutive months of year-over-year increases in new pending sales for single-family homes and 11 straight months of rising closed sales.
O’Connor explained that while positive momentum built during the second half of 2025, rising borrowing costs in 2026 eroded the gap between annual mortgage comparisons. Average 30-year fixed mortgage rates hovering between 6% and 7% did not cause a seismic shift in affordability, but incremental rate increases proved sufficient to slow transaction volume.
“The gap between this year’s mortgage rates and last year’s mortgage rates narrowed considerably through the first half of 2026, and now we find ourselves with higher mortgage rates than we had a year ago,” O’Connor stated in the report.
Inventory Pressures Keep Prices Steady
Despite softer demand, tightening housing inventory prevented statewide home prices from dropping. Single-family existing home prices reached a median of $415,000 in August, representing a 1.2% increase compared to August 2025. Meanwhile, the median price for condo-townhouse units hit $298,000, up 2.8% year-over-year.
Supply metrics varied significantly by property type across local markets. Single-family existing homes recorded a 4.3-months’ supply in August, whereas condo-townhouse properties faced a much higher 7.7-months’ supply, according to the Florida Realtors Research Department.
“Florida’s housing market is moving toward a more balanced pace as buyers and sellers adjust to today’s conditions,” said 2026 Florida Realtors President Chuck Bonfiglio Jr., who works as a broker-owner for AAA Realty Group in Plantation. “Prices remain relatively steady, while lower inventory shows how quickly conditions can shift from one local market to another.”
Outlook for Buyers and Sellers
O’Connor noted that incoming migration to Florida shows signs of picking back up, encouraging fence-sitting buyers and sellers to abandon hopes of a return to 2021 market conditions.
“We continue to see some evidence that migration into Florida is starting to pick back up a bit, and little by little, sellers and buyers who have been sitting on the fence thinking the market might return to what it looked like in 2021 are starting to realize that there’s not much sense in delaying making a move at this point,” O’Connor said.
Bonfiglio emphasized that localized expertise remains critical for participants navigating the current environment. “For buyers and sellers, preparation still matters,” he said. “Pricing, timing and local market knowledge can make a real difference, which is why working with a local Realtor remains so important.”