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