Top Real Estate Trends of 2025

1) Mortgage rates have dipped, buyers regain a little leverage

The average 30-year fixed rate recently slid to the mid-6 percent range, the lowest level of the year. That slight drop, combined with growing inventory, gives well-prepared buyers more negotiating room than they had in early 2024. Pre-approval still matters, and rate locks remain valuable, but one or two seller concessions are back on the table in many sub-markets. freddiemac.gcs-web.comWall Street Journal

Tip for locals: Ask your lender to quote both permanent buydowns and a 2-1 temporary buydown. Compare the breakeven to your likely time in the home.

2) Inventory is up in many neighborhoods, days on market are normalizing

Across Volusia and Flagler, inventory has grown from last summer, and days to pending have lengthened into a more balanced range. That means well-priced homes still move quickly, while over-priced listings sit and require reductions. In Flagler, median days to pending hovered around two months in midsummer. Volusia’s active listings have also increased year over year. Pricing cleanly against comps and condition is critical. Zillow+1

Seller playbook: Complete pre-list repairs, price within five percent of the most recent renovated comp, then refresh photos at day 21 if you have not gone pending.

3) Insurance is a moving target, but there is cautious good news

Florida’s property insurance market continues to shift. Citizens, the state-backed insurer, has reduced policies as more private carriers re-enter certain segments. Rate changes in 2025 vary by territory and risk profile, with some primary residences seeing single-digit decreases, others seeing increases. The headline for homeowners is this: shop intelligently, document your wind mitigation, and compare private quotes to Citizens at each renewal. ArtemisPublic

Pro move: Order a fresh wind mitigation and four-point inspection before listing. Sellers who provide these reports often help buyers secure better quotes and faster clear-to-close.

4) Flood risk pricing is more property specific, private options are expanding

Risk Rating 2.0 continues to reshape NFIP premiums based on each home’s unique risk characteristics. Some older homes benefit, others see gradual step-ups, and many owners now compare NFIP to private flood policies each year. Work with a local agent who quotes both. Elevation, distance to water, and first-floor height matter more than ever. FEMAFLOIRNerdWallet

Checklist: Gather your elevation certificate, photos of flood vents, and any mitigation receipts. Ask for both NFIP and private quotes during inspection.

5) New construction stays active, but buyers are choosy about value

Palm Coast, Ormond Beach, and Port Orange continue to see steady building, especially in family-friendly communities near good schools and amenities. Buyers compare builder warranties, energy features, and insurance costs more closely. Resale homes that match new-build freshness with upgrades, fenced yards, or pools are winning showings.

Builder vs resale tip: Price your resale to reflect “turnkey now,” not “builder base price.” Include a one-year home warranty to reduce buyer anxiety.

6) Migration supports demand, especially for move-in ready single-story living

Florida remains a net in-migration state, and Volusia has added tens of thousands of residents since 2010. Retirees seek single-story layouts near healthcare and shopping. Remote workers want fiber internet, a dedicated office, and short drives to the beach. Homes that check these boxes stand out across $350K to $650K price bands. PRB

Staging note: Convert a spare bedroom into a polished office. Clear cable clutter, stage with task lighting, and highlight internet options in your description.

7) Pricing strategy beats “test the market” in 2025

With more active listings competing for attention, aspirational pricing backfires. The winning pattern in Volusia and Flagler this year is simple: price at or just below the most relevant comp, launch with pro photography and a compelling description, then drive activity in week one. If you miss, make the first reduction meaningful rather than incremental.

Smart thresholding: Price at $399,900 instead of $405,000 to capture both sub-$400K and $350K to $400K portal filters.

8) Energy, maintenance, and insurance transparency influence offers

Buyers now ask early about roof age, wind mitigation credits, and average utility bills. Listings that publish this information, along with recent service records, command stronger offers and fewer inspection surprises.

Seller toolkit to include in MLS: Roof age and permit, wind mitigation report, four-point report, insurance declarations page with personal info redacted, average electric and water bills, pest and HVAC service history.

Neighborhood spotlights for 2025 shoppers

• Ormond Beach and Ormond-by-the-Sea: Coastal lifestyle with a mix of renovated ranches and newer construction. Insurance diligence is key near the water.
• Daytona Beach and Port Orange: Popular with first-time buyers and investors. Proximity to schools, beaches, and I-95 makes commute planning simple.
• Palm Coast: Master-planned communities and golf-adjacent pockets remain attractive for families and retirees. Look closely at HOA amenities and reserves.
• Deltona and DeLand: Good options for larger lots and value per square foot. Verify septic or sewer details before you offer.

What this means for you in Volusia and Flagler

• Buyers: Get pre-approved with at least two lenders, compare rate buydowns, and ask your agent to model total monthly costs that include insurance and flood.
• Sellers: Price with precision, lead with condition and documentation, then market hard in week one. Consider offering closing cost credits to widen your buyer pool.
• Investors: Focus on cap rate honesty. Underwrite taxes at reset, include realistic insurance and flood premiums, and budget for preventive maintenance.

Ready to move with confidence

Scott Lee knows the micro-trends on your street. From pricing and staging to insurance documentation and lender coordination, Scott helps you avoid the common pitfalls that cost time and money.

Call Scott Lee at 386-233-5917 to start your plan today.