Florida’s housing market cooled through much of 2025 as elevated mortgage rates and affordability pressures slowed buyer activity, but easing borrowing costs and a rebound in international transactions are beginning to generate early signs of renewed momentum, according to Florida Realtors’ latest review of international residential sales.
Higher mortgage rates, rising insurance premiums, property taxes and still-elevated home prices weighed on demand during the survey period, which covered August 2024 through July 2025. Inventory levels rose across many markets, though largely because homes took longer to sell rather than from a surge in new listings. Statewide inventory remains above pre-pandemic norms but is not high enough to trigger broad price declines.
The statewide median sale price edged down slightly during the period, though it remains elevated compared to historical levels. Markets experiencing modest price softening tend to be those facing significant competition from new construction.
International buyer activity, however, showed a notable rebound. The estimated number of residential purchases by international buyers increased 51% year over year. Dollar volume rose 46% to $10.4 billion, up from $7.1 billion in the prior period, though still below the 2020 peak of $15.6 billion.
International buyers accounted for about 5% of Florida’s existing home sales and dollar volume, up from 3% the previous year. Purchases remained concentrated in South Florida, particularly the Miami-Fort Lauderdale-West Palm Beach metropolitan area, which represented 45% of international transactions.
Latin American and Caribbean buyers comprised the largest share of foreign purchasers at 45%, followed by Europe and Northern America at 18% each. Canadian buyers led in dollar volume at approximately $1.9 billion, a 52% increase from the prior year. Colombian and Brazilian buyers also increased spending.
The median purchase price among international buyers was $442,000, down from $469,000 a year earlier but still 12.5% higher than the statewide median.
While domestic migration has slowed from its 2022 peak, it remains stronger than pre-pandemic levels. Realtors say falling mortgage rates since the survey period ended have begun lifting sales activity, suggesting potential stabilization heading into 2026.