Orlando Real Estate Market Overview For 2025

By Mark Spain Real Estate

The Orlando real estate market in 2025 offers homeowners a dynamic and potentially lucrative opportunity to sell, but also some challenges to consider. With a mix of strong buyer demand, fluctuating interest rates, and the impact of local and state-wide economic trends, the question many are asking is whether it’s the right time to list their property. This blog will dive into Orlando’s unique real estate market conditions and help you decide if now is the best time to sell or if waiting for a better moment makes sense.

Orlando, often known for its theme parks and tourism industry, is also a booming real estate market with a growing population and diverse economy. The city continues to draw new residents due to its relatively affordable cost of living compared to other Florida cities, a strong job market, and warm climate. However, as 2025 progresses, the Orlando real estate market landscape is shifting due to the expected cuts in interest rates and a slight increase in housing inventory. If you’re contemplating selling your home, understanding the specifics of this market is crucial.

Orlando Real Estate Market Trends

• Interest Rates: In 2024, Orlando, like the rest of the country, experienced higher-than-usual interest rates, currently averaging around 6.5%. These rates slowed some buyer momentum, as higher borrowing costs make it harder for many potential homebuyers to afford a home. However, the Orlando real estate market is somewhat buffered by the city’s popularity among out-of-state buyers, especially those from more expensive real estate markets. These buyers are often less affected by the higher interest rates, as they may be purchasing homes in cash or with larger down payments.
• Housing Inventory: Orlando’s inventory has risen slightly, with about 12,000active listings in the Orlando-Kissimmee-Sanford area as of October 2024. This increase in available homes gives buyers more choices, which can be beneficial for those looking to buy but may mean more competition for sellers. However, Orlando’s inventory remains relatively tight, particularly in high-demand areas like Lake Nona, Winter Park, and College Park.
• Buyer Demand: The Orlando real estate market continues to experience steady buyer demand, driven by a strong local economy, population growth, and its appeal as a retirement destination. Families, young professionals, and retirees are all drawn to Orlando’s job opportunities in healthcare, technology, and hospitality, along with its warm climate and vibrant cultural scene. The demand for vacation homes and investment properties also bolsters the market, as Orlando remains a top tourist destination.
• Home Prices: The median listing price for homes in Orlando in 2024 has been around $400,000. Although home price appreciation has moderated compared to the fast-paced growth seen during the pandemic, Orlando’s home values remain on an upward trajectory. Homes in desirable neighborhoods and those near top-rated schools or attractions continue to command higher prices, often receiving multiple offers.
• Average Days on Market: Homes in Orlando are currently spending an average of 37 days on the market before going under contract. While this is a slight increase compared to previous years, it’s still indicative of a healthy market where homes are moving, albeit at a slightly slower pace than during the housing frenzy of 2021 and 2022.

Personal Factors

Beyond market trends, your personal circumstances play an essential role in determining if now is the right time to sell your home. Consider the following:

• Financial Goals: Do you have a financial objective tied to selling your home, such as funding a new home purchase, paying off debt, or investing in something else? If your home has appreciated significantly and you have built up a strong equity position, selling now could help you reach those goals.
• Life Changes: Are you planning a relocation, starting a new job, or growing your family? Life events often dictate when it’s time to sell, regardless of market conditions. If you have a pressing reason to move, the Orlando market still offers opportunities to sell at a favorable price.
• Urgency: If you’re not in a hurry to sell, you might have the flexibility to wait and see if interest rates decrease or inventory levels change. However, if a move is necessary, Orlando’s current market conditions are stable enough to yield a good sale.

Pros of Selling Now

• Strong Buyer Demand: Orlando continues to be a magnet for new residents and investors alike. Whether buyers are looking for a primary residence, vacation home, or rental property, there is no shortage of demand, particularly in areas close to Orlando’s famous attractions and bustling downtown scene.
• Steady Home Prices: Home values in Orlando remain robust, with steady appreciation despite the overall cooling of the national housing market. If your home is in a popular neighborhood or is turnkey ready, you can likely capitalize on this market stability.
• Avoid Market Uncertainty: While the market is currently stable, there is always a risk of future downturns, whether due to shifts in the economy or rising interest rates. Selling now allows you to avoid uncertainty and lock in a strong sale price before any potential market changes.

The city’s strong buyer demand, stable home prices, and popularity as a relocation destination make it an attractive market for sellers. However, rising interest rates and increased competition from other listings mean you need to weigh your options carefully. If you’re in a position to sell now and your home is in a desirable area, you could benefit from the current market stability. On the other hand, if you’re not in a rush, waiting for more favorable economic conditions might help you achieve an even better result.

For personalized guidance on your specific situation and to understand how your home fits into Orlando’s evolving market, reach out to a local real estate professional.

If you’re considering selling your home and need expert advice tailored to your specific situation, reach out to Mark Spain Real Estate so our local agents can help you navigate the market and make the best decision for your unique circumstances.