Orlando Housing Market Update

May 2025: More Choices, Steady Growth, and a New Decade-High in Inventory

As we roll into the summer season, the Orlando housing market is flexing its muscles—with rising inventory, slight price gains, and resilient sales activity. Whether you're a buyer looking for more options or a seller navigating rising competition, the data from May 2025 tells an important story.

According to the latest State of the Market report from the Orlando Regional REALTOR® Association (ORRA), inventory rose to 13,957 homes in May—up 4.9% from April and a remarkable 35.7% increase compared to May 2024. This is the highest level of inventory we've seen since January 2011, giving buyers a wider range of homes to choose from and signaling a more balanced playing field.

Key May 2025 Market Highlights:

• Median Home Price: $390,000 — a modest increase from $389,900 in April and up 1.3% year-over-year.

• Average Sales Price: $495,763 — up 2.8% from May 2024.

• Closed Sales: 2,551 — up 3.7% month-over-month, though still down 12.3% from May 2024.

• New Listings: 4,208 — down 6.6% from April, showing some hesitation from sellers despite strong inventory levels.

• Pending Sales: 4,238 total — nearly unchanged from last year, down 1.4% year-over-year.

• Mortgage Rates: Averaged 6.78% in May, slightly up from 6.64% in April.

ORRA President Lawrence Bellido noted, “For buyers, the increase in inventory offers more choices and a chance to explore options that fit their needs. For sellers, it’s a signal to stay competitive—pricing and presentation matter more than ever in a market where consumers are weighing their options carefully.”

With months of supply now at 5.47, up 54.8% from last year, we are inching closer to what many economists consider a balanced market. This number reflects how long it would take to sell current inventory at the existing sales pace—and right now, it suggests we’re leaving behind the days of fierce bidding wars and limited availability.

What This Means for Buyers and Sellers

• Buyers: You have more leverage and more inventory to compare. However, mortgage rates remain elevated, so it's crucial to lock in favorable terms and stay within budget.

• Sellers: Homes are still selling, but pricing it right and making a strong first impression are more important than ever. Presentation—whether through staging, high-quality photography, or strong marketing—will help your home stand out.

If you’re planning to make a move in 2025, this evolving market offers opportunities—especially for those who are well-prepared.

For full data and insights, visit www.orlandorealtors.org and check out the May 2025 State of the Market report by the Orlando Regional REALTOR® Association.