Homestead, FL Housing Market Report

The Homestead housing market is currently experiencing a definitive shift toward buyer-favorable conditions as of December 2025. With the median home value sitting at $438,375, the market has seen a year-over-year decline of 4.31%. This cooling trend is further evidenced by the significant increase in days on market, which has climbed to 111 days—an increase of 23 days compared to the previous year. The sale-to-list ratio of 0.96 suggests that buyers are successfully negotiating prices roughly 4% below asking, a clear indicator that the frantic bidding wars of previous years have subsided.

Price trends over the last six months show a consistent month-over-month decline, dropping from $448,868 in July to the current December figure. This steady downward trajectory is largely driven by a rise in active inventory, which now stands at 51,735 units across the broader metro area. As supply increases and homes sit on the market longer, sellers are being forced to adjust their expectations and pricing strategies to attract qualified buyers in a more competitive environment. The rental market is mirroring this softening, with median rents dipping slightly to $2,426.

Looking ahead, the Homestead market offers a unique window of opportunity for prospective homeowners who were previously priced out of the Miami-Fort Lauderdale-Pompano Beach metro area. Sellers should be prepared for longer wait times and must ensure their properties are priced competitively from day one to avoid further stagnation. For buyers, the combination of increasing inventory and decreasing prices provides significant leverage. However, they should remain mindful of broader economic factors and interest rate movements that may impact long-term affordability despite the current dip in valuations.