Orlando Housing Market Update: May 2025 Trends and Insights

Orlando Housing Market Update: What You Need To Know

June 20, 2025

Story Highlights:

Orlando housing inventory surged 34% year-over-year in May 2025, reaching the highest levels since 2015.
Pending home sales in Orlando dropped 2.2% compared to May 2024, signaling ongoing buyer hesitation.
Winter Park, East Orlando, and Hunter’s Creek saw the largest spikes in new real estate listings last month.
Despite rising inventory, Orlando’s median home price climbed to $457,000—up 1.6% from last year.
The May 2025 Orlando housing market data shows a clear correction, not a crash.

Orlando Housing Market Update: May 2025 Data Reveals Shifts, Not Crashes

The Florida housing market is making national headlines again, and not for the usual sunshine and palm trees. According to a recent Newsweek article, Florida’s unsold home inventory has reached a decade-high of 180,000 homes. Local outlets like WFTV echo the concern, pointing out that Central Florida, especially the Orlando metro area, is a major contributor. With inventory levels spiking in many zip codes, the question arises: is Florida heading for a housing crash, or is Orlando simply going through a correction?

In this deep dive, we’ll break down the latest May 2025 housing data for Orlando, compare it with state trends, and look at how we stack up against cities like Tampa and Jacksonville. Whether you’re buying, selling, or just watching the market, this guide will help you make sense of the current landscape.

New Listings: Lower Than Pre-Pandemic Levels

New listing inventory is a key indicator of market momentum. Contrary to fears of mass sell-offs, Orlando’s new listings are still below 2019 pre-pandemic levels. Back then, May saw over 4,300 new listings. This year? We’re 1,000 listings short of that mark.

One reason is the “lock-in effect.” Many homeowners are sitting tight with their 3% mortgage rates, while today’s average hovers near 6.9%. As a result, supply remains limited.

Yet, January 2025 did see a spike in listings—about 20% higher year-over-year across Florida. But that trend appears to have plateaued. May’s listings are flat against last year, suggesting a more stable seller environment.

ZIP Code Hotspots: Where Listings Are Heating Up

Certain neighborhoods are bucking the trend with significant jumps in new listings:

32789 (Winter Park): Up 36%
Hunter’s Creek: Listings up 90% YoY
32817 (East Orlando): Inventory almost doubled to 75 homes vs. a 9-year average of 39

These pockets may present opportunities for buyers, especially if inventory continues to outpace demand.

Closed Sales: A Cooling Trend

Only 2,500 homes closed in May 2025—down 7% from last year and well below the 3,300 closings in May 2019. Despite a growing population, Orlando’s real estate activity feels muted. This stagnation in closed sales is part of a broader state and national slowdown.

Active Inventory: Highest Since 2015

This is where the headlines come from. Active inventory in Greater Orlando approached 10,000 units in May, a 34% jump YoY. That’s the highest level since around 2015.

Still, perspective matters: the region’s population has grown significantly since then. In a normalized market, we’d expect even more inventory.

Inventory Growth by Area: South & East Orlando Lead

Inventory is rising fastest in two key areas:

South Orlando & Osceola County: Airbnb-heavy zones and first-time buyer markets are seeing the steepest increases.
East Orlando & North Suburbs (Maitland, Winter Park): Historically tight on supply, these areas are finally loosening up.

Even so, many of these areas remain below historical averages, indicating a market that’s correcting—not crashing.

Pending Sales: Soft Demand Continues

Pending sales—a leading indicator for future closings—are down 2.2% YoY. With only 3,300 homes under contract in May versus nearly 4,800 in May 2019, buyer activity remains weak. This suggests June will likely see another dip in closings.

Home Prices: Flat, Not Falling

Despite rising inventory, median sale prices in May 2025 are up 1.6% YoY to $457,000. That’s a 63% jump from 2019. While prices have bounced slightly month to month, the overall trend is flat—not falling.

Final Thoughts: What This Means for You

The Orlando housing market isn’t crashing—it’s adjusting. Inventory is rising, especially in certain ZIP codes, but sellers aren’t flooding the market. Meanwhile, home prices remain stable, and demand—while soft—is still present.

Why Choose Jared Jones?

As a top real estate agent with nearly 4,000 homes sold and over 20 years of experience in the Florida real estate market, I have the expertise needed to help you navigate today’s evolving landscape. Whether you’re looking to buy or sell, my deep understanding of market trends and personalized approach will provide you with the insights and strategies required for success.

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If you’re ready to make a move in Florida’s real estate market, don’t hesitate to reach out. Contact Jared Jones at 407-706-5000 (call or text) or email info@jaredjones.com for professional guidance and personalized service that will help you achieve your real estate goals.