Lee County Home Prices Plummet: A 5% Drop Since Last Year!

Lee County, Florida, USA - In Lee County, the real estate market is seeing a notable downturn as we reach mid-2025. Recent data reveals that home sales prices are on a decline, prompting discussions among local buyers and sellers about the state of the housing market. As reported by News-Press, the median home price in March was $370,000, marking a 2.6% decrease from February’s $380,000. This downward trend extends when comparing figures from a year ago, with a 5.1% drop from March 2024’s median of $390,000.

Notably, single-family homes are seeing similar trends. The median selling price for these homes was $389,262 in March, down 2.7% from February, and a striking 5.1% from the previous year. Lee County observed a significant drop in the premium end of the market as well, with only 132 single-family homes sold for $1 million or more, a decrease from 152 homes sold in March 2024.

Condominiums and Townhomes

The condominium and townhome market hasn’t escaped scrutiny either. According to the same News-Press report, the median sales price for these properties plummeted by 9.4% to $290,000 from $320,000 just a month prior. This represents a 14.5% year-over-year decline, with only 24 condominiums or townhomes selling for over $1 million in March, down from 40 in March 2024.

This drop in prices isn’t just a local issue; across Florida, the story is much the same. While state-wide data shows a slight increase in median sales prices, the number of recorded sales dropped significantly. Lee County’s total residential home sales amounted to $975.7 million that month, yet this figure reflects an overall decrease in volume from prior years, with sales recorded down by 11.4% year-over-year. Meanwhile, state-wide sales figures reveal similar sentiments, with 32,971 recorded sales in Florida, down by 10.6% from this time last year, as detailed on Rocket Homes.

Market Insights and Risks

Digging deeper into the numbers, additional insights emerge. According to Redfin, the median sale price of homes in Lee County dropped to $368,000 in May—a 7.8% dip from last year. Adding to this, homes are spending more time on the market, averaging 72 days compared to 56 days from the previous year. The sale-to-list price ratio has also seen a decline, settling at 95.9%, meaning homes are selling slightly below their listing prices.

Moreover, the housing market isn’t just about numbers; it intersects with the realities of living in this region. Flood risk is on many minds, as 64% of properties in Lee County face severe flooding risks over the next 30 years. Wildfire risks are also concerning, with 69% of properties at risk. And let’s not forget about the heat—99% of properties are at extreme risk due to projected increases in hot days over the coming decades. Those figures underscore that while prices are dropping, the challenges posed by our changing climate remain a pressing issue.

The real estate market in Lee County is at a crossroads. With declining prices and increasing risks, buyers and sellers alike must navigate a complex landscape. As developments like the new concourse at Southwest Florida International Airport unfold, it will be intriguing to see how such expansions influence our local economy and real estate market long-term.