Southwest Florida housing inventory dropped sharply in August while pending sales increased, but the market remains highly dependent on location, property type and price. Here is what buyers and sellers should know across Fort Myers, Cape Coral, Estero, Bonita Springs and Naples.
Southwest Florida’s real estate market is tightening—but that does not automatically mean every seller has the upper hand.
August brought fewer active listings and more pending contracts across the region. At the same time, closed sales dipped slightly, buyers remained price-conscious and nearly one-quarter of listings in some local markets had previously expired, been withdrawn or been relisted.
The takeaway: well-priced, well-positioned homes can attract serious attention, while stale or overpriced properties may still offer buyers meaningful negotiating room.
SWFL Inventory Is Down and Buyer Activity Is Improving
Across Southwest Florida, August produced 2,285 closed sales, down 3.1% from the prior year. Pending sales, however, increased 7.2%, while active inventory declined 20.7% to 14,852 properties. That left the region with approximately 5.4 months of supply—generally considered a balanced market.
The regional median sale price increased 2.3% to $399,000, while price per square foot rose just 0.4%. That smaller change in price per square foot is important because it suggests the increase in the overall median may be influenced partly by the mix of homes that sold, rather than broad appreciation across every property type and neighborhood.
Another important detail: inventory can fall because homes sell, but it can also fall when sellers withdraw listings or allow them to expire. That is why the best-priced new listings can feel competitive even when the overall market is not clearly favoring sellers.
View the August regional market report
Fort Myers, Cape Coral, Estero, Bonita Springs and Naples Are Behaving Differently
There is no single “Southwest Florida market.” Conditions vary significantly by city, community, property type, flood exposure and price range.
| Market | August median price | Months of supply | What stands out |
|---|---|---|---|
| Fort Myers | $345,000, flat year over year | 5.2 | Pending sales rose 21.4% |
| Cape Coral | $382,375, up 6.8% | 4.8 | New listings rose 13.2%, while closings fell 5% |
| Estero | $517,500, up 6.2% | 3.5 | Tightest inventory; pending sales rose 34.1% |
| Bonita Springs | $505,000, up 0.5% | 4.3 | Closings fell 14.8% and marketing time increased |
| Naples | $610,000, up 1.7% | 5.2 | Nearly one-fourth of listings were relisted |
For sellers, lower inventory is encouraging, but it is not permission to overprice. Buyers can quickly compare a home with competing listings, recent closed sales, insurance costs, taxes and HOA obligations.
For buyers, the total inventory number does not always reflect the competition for the best homes. Fresh listings that are well maintained and accurately priced may move quickly, while older or repeatedly relisted properties can create more negotiating opportunity.
Estero Is Tightening While Bonita Springs Remains Price-Sensitive
Estero had some of the region’s strongest supply-and-demand fundamentals in August. Active inventory fell 32.5% year over year to 441 listings, months of supply declined from 6.3 to 3.5, and pending sales rose 34.1%.
Even so, one month’s median price can be affected by a relatively small number of sales. Estero’s three-month median increased 3.4%, while its rolling price per square foot declined 1.6%. Buyers and sellers should still rely on community-specific comparable sales rather than a citywide headline.
Bonita Springs tells a different story. Inventory also declined, but closed sales fell 14.8%. Median days on market increased from 79 to 108, and sellers received an average of 95.1% of their most recent asking price. The three-month median sale price moved from $570,000 in June to $520,000 in August.
That combination shows that buyers are still resisting prices that do not align with current comparable sales. Bonita sellers need pricing strategies tailored to their exact community and price tier, while buyers may find leverage among older listings and homes with prior reductions.
Read the Bonita Springs market report
A Listing’s Visible Days on Market May Not Tell the Whole Story
Approximately 23.9% of Fort Myers listings and 23.4% of Naples listings had an expired, withdrawn or terminated listing at the same address during the previous year.
In Naples, properties that sold during their first listing attempt spent a median of 74 days on the market. Relisted homes accumulated 258 days across their separate listing attempts.
This matters because cancelling and relisting a property can reset the days-on-market counter buyers see online, but it does not erase the home’s history. I review the complete address-level listing record when helping buyers assess leverage or advising sellers on pricing. A new MLS number alone rarely changes how the market perceives a home unless the price, condition or presentation also changes.
View the Naples relisting analysis
Mortgage Rates Are Still Shaping Affordability
The national average 30-year fixed mortgage rate increased from 6.66% to 6.71% on September 3, compared with 6.50% one year earlier.
On a $350,000 loan, the principal-and-interest payment at 6.71% is approximately $49 more per month than at 6.50%. The difference is not enormous by itself, but it adds to the full cost of ownership when combined with property taxes, homeowners insurance, flood coverage and HOA or condo obligations.
Buyers should compare the complete monthly payment—not just the purchase price. Depending on the property and transaction, seller-paid closing costs, temporary or permanent rate buydowns and builder financing incentives may provide more immediate value than waiting for an uncertain future rate change.
See the latest Freddie Mac mortgage-rate data
Flood Insurance Deserves Early Attention
The National Flood Insurance Program is currently authorized through December 11, 2026. That reduces the immediate concern for September closings, but a temporary extension is not the same as long-term authorization.
Read the current NFIP guidance from the National Association of Realtors
There is also an important change coming for many Citizens policyholders. Beginning January 1, 2027, most remaining Citizens residential policies with wind coverage will require flood insurance regardless of the home’s replacement value or whether it is located in FEMA Flood Zone X. Condominium unit-owner policies are exempt from this requirement.
Review Citizens’ flood-insurance requirements
Zone X does not mean zero flood risk, and it may not mean zero flood-insurance cost. Buyers should identify the current insurer, obtain homeowners and flood quotes early, and include both in their total monthly-cost analysis.
Midtown Fort Myers Improvement Project Moves Forward
The City of Fort Myers announced a September 17 public meeting for Phase 1 of the Midtown Improvement Project. Planned improvements include underground utilities, drainage and stormwater work, roadway and sidewalk upgrades, lighting and landscaping.
These improvements could support long-term connectivity and neighborhood appeal, although nearby owners and buyers should also anticipate temporary construction activity as the project progresses.
Read the City of Fort Myers project notice
What This Means for SWFL Buyers and Sellers
Southwest Florida is becoming more balanced, but the experience can vary dramatically from one neighborhood and property type to another.
Sellers should focus on accurate opening prices, strong presentation and the most relevant recent comparable sales. Buyers should pay close attention to a property’s complete listing history and evaluate insurance, taxes, flood coverage, HOA costs and possible assessments before deciding what they can comfortably afford.
If you are thinking about buying or selling in Fort Myers, Cape Coral, Estero, Bonita Springs, Naples or a nearby Southwest Florida community, I am always happy to help you make sense of the numbers for your specific situation—without pressure or one-size-fits-all advice.
Gibson “Gibby” Eagle
Your Trusted Local Advisor & Authentic SWFL Native Realtor
MAXIM, LLC
This market update is provided for general informational purposes. Real estate conditions, mortgage rates, insurance requirements and individual property costs can change. Consult the appropriate licensed professional for advice specific to your situation.