National:
For almost three years, many buyers have been sitting on the sidelines waiting for 3%, 4% or even 5% mortgage rates to return. Increasingly, they're deciding they can't put their lives on hold forever. As a result, pending sales and mortgage lock activity have shown signs of improving despite rates remaining in the mid-6% range. This ties in perfectly with what we're seeing locally.

The luxury market continues to outperform. Million-dollar home sales are increasing while lower-priced segments remain more constrained by affordability. Cash buyers and financially strong purchasers continue to drive much of the upper-end market.

Local:
Demand continues to be supported by military growth, tourism, investment, second-home ownership, retirees, and people relocating for the fabulous quality of life our area offers. While buyers have become much more selective and price-conscious, well-prepared properties continue to attract strong interest.

Every neighborhood has its own story. That's why we encourage buyers and sellers to look beyond the national headlines and focus on what's happening in their specific market. Importantly, these statistics do not indicate a lack of buyers. Buyers remain active throughout the Emerald Coast.

The average days on market for single family homes last month was 96. These homes sold for 96% of asking price. Expired homes were up to 1,200 days on the market. The data suggests that many sellers are entering the market with pricing expectations that buyers simply are not willing to support.

Regardless of current market conditions, the long-term outlook for the Emerald Coast remains positive. Population growth, continued investment in our region, and the area's enduring appeal as both a primary and second-home destination continue to support the market's long-term fundamentals.

One thing remains certain: every reasonably priced home or condominium on the market today will sell.

A summary of June’s Average Sold Prices:
                                                     Single Family                        Condo
30-A                                          $2,385,976  (140)            $1,725,000  (33)                                   
Destin/Miramar Beach         $1,457,796  (75)              $    665,782  (78)
Ft. Walton Beach                    $   488,854  (119)            $    456,035  (23)

Ed & Terri Smith Team
Making Business a Pleasure ℠

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The National Market:

The national housing market continues to work through a combination of elevated mortgage rates, affordability challenges, and economic uncertainty. Bond market volatility continues to influence mortgage rates, which remain in the mid-6% range and near the highest levels seen this year. As a result, affordability remains a challenge for many buyers. However, mortgage application activity has increased in recent weeks, suggesting that buyers are gradually adapting to today's financing environment.

Inventory levels have improved substantially in many markets across the country, providing buyers with more choices and greater negotiating power. As a result, home price appreciation has slowed nationally, and many economists are forecasting only modest price growth during the next 12 months.

The Local Market:

Within our primary market area, stretching from Fort Walton Beach to Inlet Beach, today's market continues to reward realistic pricing, strong presentation, and effective marketing.

The most revealing statistic may not be how many properties are selling, but how many are not. During the past 12 months, 454 single-family homes sold while 863 listings expired without selling. In other words, nearly twice as many homes left the market unsold as successfully closed.

The condominium market tells a similar story. During the same period, 146 condos sold while 807 listings expired, an expired-to-sold ratio of approximately 5.5 to 1.

Importantly, these statistics do not indicate a lack of buyers. Buyers remain active throughout the Emerald Coast. Rather, the data suggests that many sellers are entering the market with pricing expectations that buyers simply are not willing to support.

Regardless of current market conditions, the long-term outlook for the Emerald Coast remains positive. Population growth, continued investment in our region, and the area's enduring appeal as both a primary and second-home destination continue to support the market's long-term fundamentals.

One thing remains certain: every reasonably priced home or condominium on the market today will sell.

A summary of May Average Sold Prices:

                                                                              Single Family                   Condo
30-A                                                                  $2,707,909  (122)        $1,351,890   (17)                                   
Destin/Miramar Beach                                 $1,398,718  (74)          $    677,393  (70)
Ft. Walton Beach                                            $   496,734  (83)          $    422,592  (20)

Ed & Terri Smith Team
Making Business a Pleasure ℠

The National Market:

The real estate market continues to push through today’s “crappy trinity” of elevated interest rates, international conflict, and rising fuel prices. Mortgage rates did improve this week after climbing to some of the highest levels seen in over a month. Markets responded positively to calmer conditions in the Middle East. This matters because calmer energy markets can help ease some of the pressure on mortgage rates.

Nationally, inventory levels continue to improve across much of the country, giving buyers more choices and reducing some of the urgency that defined the post-COVID market.

While certain regions are still experiencing modest price appreciation, others are seeing longer marketing times and selective price adjustments. The market has become increasingly localized and segment-driven, with pricing, presentation, and perceived value playing a larger role than at any point in recent years.

The Local Market:

According to MLS data, aside from a 22% decline in closed single-family home sales in the Destin/Miramar Beach market compared to the previous month, both sales activity and average sold prices across most local segments remain relatively consistent with April 2025 levels. Countywide statistics, however, continue to reflect stronger year-to-date condo activity, with closed condo sales up +35.5% in Okaloosa County, +52.3% in Walton County, and +29.7% in Bay County. Current inventory levels stand at approximately 11.4 months for condos and about 8 months for single-family homes.

Compared to April 2025, single-family home inventory remains virtually unchanged, although the overall number of homes sold has declined 14.3%. The most notable shift continues to be within the condo market, where inventory has decreased 18.1% year-over-year while closed condo sales have increased 22.2%, suggesting buyers are continuing to respond to improved pricing opportunities and growing inventory stabilization.

Regardless of current market conditions, the long-term outlook for the Emerald Coast remains positive, and the prospects for a stronger and more balanced market in 2026 continue to improve.

A summary of April Average Sold Prices:

                                                                         Single Family                      Condo
30-A                                                             $2,504,950  (102)          $1,766,938   (27)                                   
Destin/Miramar Beach                            $1,551,113  (45)            $   620,846   (65)
Ft. Walton Beach                                       $   458,310  (72)            $   384,203   (18)

Ed & Terri Smith Team
Making Business a Pleasure ℠

The National Market:

Mortgage rates just blinked — but don’t get too excited. Rates dipped to around 6.37% after climbing for over a month, but they remain elevated and somewhat volatile due to ongoing inflation concerns and global tensions. Until we see meaningful and sustained improvement in rates, buyers are still active — just more cautious and precise in their decision-making. At the same time, inventory is gradually improving across much of the country.

What’s most notable right now is that the housing market has become highly localized. Some areas are still experiencing price growth, while others are seeing modest softening. There is no longer a single national trend — success today is driven by pricing, presentation, and positioning within each specific market. Of the 12 largest markets showing price declines right now, 6 are right here in Florida.

The Local Market:
Here locally, we’re seeing about 6 month’s worth of inventory in single family homes, which puts us in balanced market territory. We have a 10.5 month supply on the condo side. Buyers are active, but they are selective. Properties that are priced competitively and show well are moving. Those that are pushing the market are sitting and accumulating days on market.

Like the national picture, our market has become more fragmented and hyper-local. Some segments are seeing price adjustments, while others remain stable. It is no longer a one-size-fits-all market.

Regardless, the prospects remain positive for a much improved market in 2026.

A summary of March Average Sold Prices:

                                                 Single Family                Condo
30-A                                       $2,418,953  (124)      $1,350,179   (25)                                   
Destin/Miramar Beach        $1,543,591  (55)        $   721,820   (74)
Ft. Walton Beach                 $   406,334   (78)        $  345,125   (16) 
 

Ed & Terri Smith Team
Making Business a Pleasure ℠

The National Market:
Mortgage rates are still the big story. Rates have been hovering around the 6% range, which many analysts see as an important level for buyers. Another quarter-point decline would likely be psychologically significant and could bring more buyers off the sidelines.

But there’s another factor that continues to shape the market. Millions of homeowners refinanced during the pandemic and locked in mortgage rates below 4%. Because of that, many remain reluctant to sell and give up those ultra-low payments.

The result? Inventory across much of the country remains tighter than normal. So even though higher rates have cooled the pace of sales somewhat, limited supply continues to help support home prices.

The Local Market:  
Our local market is showing many of the same patterns we’re seeing nationally. Inventory has increased somewhat, which is actually a healthy development because it gives buyers more choices than they’ve had in a while.

Buyers are still very much out there. They are simply taking their time a bit and are being more selective. Homes and condos that are priced right and presented well are getting attention and selling, while properties that start out too aggressively priced tend to sit until the market helps find the right number.

The February numbers illustrate the range of our market well. Along the 30-A corridor, the average single-family home sold for about $2.27 million, while condos averaged roughly $1.48 million. In Destin and Miramar Beach, the average single-family sale came in at $1.42 million. In Fort Walton Beach the average was about $458,000.

All in all, the market is still working — it’s just more thoughtful and measured than it was a few years ago.

A summary of February Average Sold Prices:

                                                 Single Family                     Condo
30-A                                        $2,272,289  (80)            $1,478,891  (23)                                   
Destin/Miramar Beach         $1,423,253  (53)            $   714,101  (41)
Ft. Walton Beach                   $  457,946   (52)            $   435,925  (14) 
 

Ed & Terri Smith

RE/MAX Coastal Properties

Selling Emerald Coast Real Estate Since 1987!

Inlet Beach - 30A - Santa Rosa Beach - Miramar Beach - Destin - Fort Walton Beach

Just a quick note to let you know that our Monthly Market Update is out. A little national perspective, a little local insight — and the trajectory is looking positive. Hope you enjoy the read!

The National Market:
Lower mortgage and consumer interest rates have injected a fresh dose of optimism into the economy. Many analysts believe 6% is the psychological “green light” that will re-energize the housing market. The official Fannie Mae rate sits just above that level, while many lenders are already quoting in the upper-5% range. A modest positive shift in the bond market could move us firmly into that zone.

The Local Market:  
The year began on a positive note, though momentum was temporarily cooled by our recent arctic-like temperatures (yes, even in Florida!). February activity is already showing noticeable improvement. Historically speaking, inventory remains relatively low, but we do expect more supply to enter the market as sales activity continues to strengthen.

Buyers are out there — just a bit more thoughtful in their decisions. As always, the properties that are well-positioned in the market are getting the lion’s share of the attention.  As I often say, “The market always rewards those who read the room”. 

January 2026 data:

Single-Family Homes: About 8.1 months of inventory (243 days). Recent sales averaged 121 days on market and closed at 96% of asking price.

Condos: Roughly 13.3 months of inventory (399 days). Sold units averaged 185 days on market, achieving 94% of list price.

A summary of January Average Sold Prices:
                                                            Single Family                   Condo
30-A                                                  $2,884,125   (65)         $1,757,143  (14)                                   
Destin/Miramar Beach                   $1,790,196   (35)         $   640,253  (47)
Ft. Walton Beach                             $   429,774   (58)         $   462,836  (18) 
 
Ed Sez:  In Warren Buffett–esque terms, today’s market rewards realism over wishful thinking. As the market rapidly improves, we’re getting back to solid footing — and that’s where the opportunities really start to grow.

Ed & Terri Smith

RE/MAX Coastal Properties

Selling Emerald Coast Real Estate Since 1987!

Inlet Beach - 30A - Santa Rosa Beach - Miramar Beach - Destin - Fort Walton Beach

The National Market:
It’s been a long time since we’ve seen 30-year mortgage rates below 6%, but that moment finally arrived last week. With many lenders now quoting 5.875%–5.99%, we’ve crossed a powerful psychological threshold for the housing market.

Back in January 2025, the average 30-year rate was about 7.0%. On the same loan amount, today’s lower rates mean a monthly payment of roughly $2,966 instead of $3,327 — a 10.9% reduction.

That’s real money, real affordability, and a real confidence boost for buyers and sellers alike. Lower payments expand the buyer pool, and that momentum tends to pull more sellers into the market. In short, this rate shift is quietly setting the stage for a stronger, more active market.

The Local Market:  
The new year has started on a very positive note. Both buyer activity and offers written have exceeded expectations. Inventory has declined somewhat, which is often a reflection of properties sidelining for the holidays.

December 2025 data:

Single-Family Homes: About 5.6 months of inventory (170 days). Recent sales averaged 133 days on market and closed at 96% of asking price, reflecting strong buyer confidence.
 
Condos: Roughly 9.4 months of inventory (286 days). Sold units averaged 321 days on market, achieving 96% of list price.

A summary of December Average Sold Prices:

                                                         Single Family                Condo
30-A                                              $2,444,222   (107)      $1,145,608   (25)                                   
Destin/Miramar Beach               $1,240,722     (47)      $   710,726   (68)
Ft. Walton Beach                         $  400,947      (75)      $   529,425   (20) 
 
Ed Sez:  Price It Right, Ride the Wave. The  wave is coming! 

Ed & Terri Smith

RE/MAX Coastal Properties

Selling Emerald Coast Real Estate Since 1987!

Inlet Beach - 30A - Santa Rosa Beach - Miramar Beach - Destin - Fort Walton Beach

December 2025 — Market Outlook

Closing Out the Year With Momentum and Milestones

As 2025 draws to a close, we find ourselves reflecting on an extraordinary year — in the markets, in the economy, and along our own Emerald Coast. This edition marks a special milestone: the completion of 19 consecutive years of publishing our Monthly Newsletter. To commemorate the occasion, we’ve expanded this final issue of the year to three pages LOL

Last week’s FOMC announcement brought a welcome, albeit widely expected 0.25% reduction in the Fed Funds Rate. It’s a modest cut — but it is a meaningful signal. And, not a bad way to end the year.

Below, you’ll find a chart that tracks three essential benchmarks from 2015 to today: the Federal Funds Rate, the Prime Rate, and 30-year mortgage rates. Together, they tell the story of a decade that started with near-zero rates, shifted abruptly during the inflation surge beginning in 2022, and now appears to be slowly settling back toward balance.

The quick take:

· The Fed held rates near 0% for years, then executed the fastest tightening cycle in decades.

· The Prime Rate moved in tandem, as it typically runs roughly 3% above Fed Funds.

· Mortgage rates remained low until inflation ignited, then rose sharply alongside the 10-year Treasury.

The Local Market: A Year of Stops, Starts, and Signs of Strength

Here along the Emerald Coast, buyer activity has been sporadic — coming in pulses rather than the steady rhythm we typically see in the fourth quarter. This quarter has historically been one of the strongest of the entire year. While this year hasn’t followed its usual pattern, the overall momentum remains absolutely positive. We are seeing more buyer engagement and more enthusiasm.

Inventory levels dipped this month, as did total sales and average sale prices. This tightening is common in a transitional market and signals that we’re preparing for a stronger start to 2026. In short: we’re heading toward greener pastures.

Single-Family Homes: About 8.3 months of inventory (249 days). Recent sales averaged 127 days on market and closed at 96% of asking price, reflecting steady buyer confidence.

Condos: Roughly 12.5 months of inventory (376 days). Sold units averaged 285 days on market, achieving 95% of list price. Year-to-date, active condos average 226 days on market.

With an estimated 68% of homes owned free and clear or with more than 50% equity, the Emerald Coast market remains fundamentally strong and well positioned for sustained growth.

A summary of November Average Sold Prices:

                                                    Single Family                  Condo
30-A                                          $2,364,455   (69)         $1,247,179   (15)                                   
Destin/Miramar Beach           $1,147,057   (45)         $   647,754   (70)
Ft. Walton Beach                     $  471,794    (62)         $   342,000   (11) 

Interestingly, the median home sales price — Fort Walton Beach to Inlet Beach — in November was $1,311,515, versus the median sales price of $875,000. Simply put, this spread indicates that significantly more upper-end properties sold than lower-end in November.

Bottom line: 2025 was underwhelming, but the handwriting is on the wall — 2026 has all the earmarks of a much improved year!

Wishing everyone a Very Merry Christmas and a Joyous Holiday Season!

Ed & Terri Smith 

RE/MAX Coastal Properties

Selling Emerald Coast Real Estate Since 1987!

Inlet Beach - 30A - Santa Rosa Beach - Miramar Beach - Destin - Fort Walton Beach 

The National Market:
Across most U.S. markets, we’re seeing steady conditions and modest appreciation. Zillow reports average home values up 0.3% year-to-date, while most forecasts place annual gains closer to 2%—a sign of balance, not boom or bust.

Inventory continues to rise gradually, while sales volumes remain moderate. Encouragingly, pending home sales rose 4.0% last month, after the previous month’s rise of 4.2%, the strongest increases since spring—an early sign of renewed demand.

Mortgage rates have eased slightly as inflation pressures cool and bond markets anticipate eventual rate cuts. If that trend holds, it should further unlock sidelined buyers. Overall, the national market appears to be finding stability—steady prices, growing confidence, and early signs of stronger activity heading into year-end.

The Local Market:  
Buyer activity across the Emerald Coast continues to trend upward, supported by increased inventory and a more balanced pace of sales. October 2025 data:

Single-Family Homes: About 7.1 months of inventory (214 days). Recent sales averaged 122 days on market and closed at 96% of asking price, reflecting steady buyer confidence.
 
Condos: Roughly 10.9 months of inventory (328 days). Sold units averaged 211 days on market, achieving 95% of list price. Y-T-D active on the market condos average 261 days on market.

With an estimated 68% of homes owned free and clear or holding more than 50% equity, the Emerald Coast market remains fundamentally strong and well-positioned for sustained growth.

A summary of October Average Sold Prices:
                                           

                                                              Single Family                   Condo
30-A                                                  $2,600,981   (85)         $ 1,462,639   (18)                                   
Destin/Miramar Beach                 $1,386,951   (56)         $    774,749    (85)
Ft. Walton Beach                            $   458,385   (82)         $    450,375    (16) 

Interestingly, the median home sales price — Fort Walton Beach to Inlet Beach—in October was $935,000. The median condo sales price was $595,000.
 
Ed Sez: Price It Right, Ride the Wave. Buyers along the Emerald Coast are informed, cautious, and selective — but they’re still buying the right properties at the right price. As I’ve said before, the right price isn’t surrender; it’s simply a fundamentally sound financial strategy.

Ed & Terri Smith

RE/MAX Coastal Properties

Selling Emerald Coast Real Estate Since 1987!

Inlet Beach - 30A - Santa Rosa Beach - Miramar Beach - Destin - Fort Walton Beach