We’ve reached the halfway mark of 2025, and while the U.S. housing market is still recalibrating in the wake of the pandemic boom, some geographical markets have seen a major shift. While overall supply remains tight, data from ResiClub suggests some regional markets have finally surpassed pre-pandemic inventory levels – including many Florida cities.
During the Pandemic Housing Boom, active homes for sale plummeted due to sky-high levels of buyer demand driven by incredibly low interest rates. This has kept sellers in the driver’s seat for the majority of the last five years. However, in areas where active inventory recently rebounded or surpassed 2019 levels, the market is softening. Buyers are gaining power as new home construction keeps pace with demand and shifting market dynamics.
Inventory Is Recovering Across Many Top Markets In 2025
According to ResiClub, the national active housing inventory was still -11% below 2019 levels at the end of June. However, trends show that regional markets continue to surpass that level. As of January, 41 of the 200 largest metro housing markets were back above pre-pandemic levels. By the end of June, that number reached 78 and is expected to continue to climb in the back half of the year.
Reduced demand and steady new construction are the largest influences behind the rebound. Many of these recovering metro areas are in Florida and across the Sun Belt.
Many of the softest markets, where buyers have gained the most leverage, are located around the Gulf Coast and Mountain West regions – areas that were among the nation’s top pandemic boomtowns.
These markets saw significant home price growth, which stretched prices beyond local income levels. When pandemic-driven migration slowed and mortgage rates jumped, these hot markets across Florida and Texas had to rely on local incomes to sustain high home prices.
However, they’re now benefiting from an increasing new home supply. Plus, homebuilders are often willing to offer incentives or lower home prices to maintain strong sales levels. New home construction also helps create a cooling effect on the resale market, since some buyers who would have otherwise selected an existing home take advantage of deals on new homes instead. As a result, demand is softening and inventory is increasing.
In contrast, many Northeast and Midwest markets were less reliant on pandemic migration and now have less new home construction in progress. With lower exposure to demand shock, active inventory in these Midwest and Northeast regions has remained relatively tight, keeping the advantage in the hands of home sellers.
The Florida Real Estate Market Is Showing Signs Of Strength
While the majority of markets are still grappling with inventory challenges, Florida’s top cities have seen meaningful inventory gains over the past year. Several Florida metros are among the 78 markets where inventory has now exceeded 2019 levels.
These signs of growth are largely due to rapid acceleration of new home construction, which can be partly attributed to strong builder/developer partnerships that have made it easier and faster to produce new communities at scale and bring new homes to the market – especially across Central and Northern Florida. If Florida development continues apace, it could lead to positive economic impacts.
Jobalia Development Group Is Helping Fuel Florida’s Growth
According to ResiClub, the housing market softening in the Sun Belt was accelerated by an abundance of new home supply. As one of the top firms behind this momentum, Jobalia Development Group partners with many of the nation’s largest homebuilders to build community infrastructure and accelerate residential development pipelines. Jobalia has played a crucial role in clearing land, installing utilities, and providing ready-to-build lots across high-growth regions.
New home supply requires infrastructure, and quality infrastructure requires experience. Jobalia’s experienced land development team has been quietly powering local housing recovery. As we head into the second half of 2025, Florida is well-positioned to reverse some of the tight supply conditions that have plagued the market over the last five years.