Cape Coral Realtors Debunk WSJ's Worst Housing Market Claim

Cape Coral, Florida, USA - On July 8, 2025, a response from the Royal Palm Coast Realtor Association (RPCRA) and Florida Gulf Coast Multiple Listing Service, Inc. aimed to address the portrayal of Cape Coral’s housing market by the Wall Street Journal. The article titled „The Worst Housing Market in America Is Now Florida’s Cape Coral“ was criticized for lacking essential context and insights into the broader dynamics at play. RPCRA President Karen Borrelli stated that the local organizations wanted to clarify the data surrounding the Cape Coral housing scene.

The RPCRA emphasized that the median sale price of homes in Cape Coral remained quite stable, with a June 2025 median price of $361,975, showing an uptick from $355,000 in October 2021. This trend indicates a normalization of prices, rather than a market collapse, as illustrated by the median sale price in Southwest Florida holding steady at $400,000 since December 2021. In fact, a deeper look at supply and demand reveals a notable shift in inventory dynamics. Back in October 2021, the market saw just 773 homes available for sale, whereas June 2025 reported a significant jump to 3,046 homes on the market.

Market Dynamics

The shift to a more balanced market also reflects the increasing months of inventory available to buyers. The figures show a move from November 2023’s levels of around 4-6 months of inventory to a current status of 7.3 months—creating the opportunity for negotiation and more extended decision-making for buyers. As RPCRA detailed, the months of inventory are an essential indicator of market balance, with a normal figure hovering between 4 to 6 months.

Further context from Redfin adds that Cape Coral is experiencing a less competitive market, with homes receiving just an average of one offer and selling within approximately 76 days. The median sale price currently stands at $361,250, reflecting a 7.7% drop from the prior year. Interestingly, it’s reported that while 11.3% of homes are selling above the list price, 36.9% have experienced price drops.

Current Trends

From the data provided by Worthington Realty, it’s clear that both single-family homes and condominiums favor buyers significantly. The inventory of single-family homes is presently at 7.3 months, which gives buyers more choices and reduces the pressure to make quick decisions. The median sale price of single-family homes has slipped to $371,850—a notable 5% lower than the previous year—and homes are averaging around 97% of their list price, typically spending about 78 days on the market.

On the other hand, the condominium market is showing signs of oversupply with an inventory of 12.3 months, pressuring potential sellers to offer competitive pricing. The median condo price sits at $225,000, down 8.2% year-over-year. Sellers in both sectors must navigate these challenging conditions prudently; overpricing is a mistake that can lead to prolonged time on the market.

Looking Ahead

With the housing landscape rapidly evolving in Cape Coral, it becomes crucial for prospective buyers to fully understand these dynamics. The RPCRA and Florida Gulf Coast MLS organizations concluded in their communications that the market is not collapsing but rather transitioning. They strongly encourage potential buyers and sellers to consult knowledgeable local Realtors® for tailored guidance.

As we look forward, one can’t help but wonder how these trends will unfold in the coming months. Will there be a rebound in buyer activity as seasonal patterns kick in, or will the market continue to lean towards a buyer’s advantage? Time will tell, but staying informed is the key to making smart decisions in any situation.