Insights from Local and State Real Estate Experts

Nationally, housing economists are pointing to 2026 as a year of recovery. According to National Association of REALTORS (NAR) Chief Economist Lawrence Yun, easing mortgage rates, improving affordability, and growing inventory are expected to bring more buyers back into the market. Florida is already showing early signs of that shift, with buyer activity rebounding late in 2025 and seasonal patterns beginning to normalize. Locally in Volusia County, those broader trends are taking shape, creating a more balanced and predictable market as we head into the year ahead.

Florida Realtors’ Chief Economist, Brad O’Connor, reports a late year rebound in buyer activity into early 2026. “Mortgage rates fell by more than half a percentage point in the waning months of the year, and as a result, sales really responded here in the Sunshine State.” This has led to a multi-month streak of positive growth for closed sales of single-family homes across the state.

Local market data from the New Smyrna Beach Board of REALTORS® shows that single-family home sales in Volusia County edged up at the end of 2025. Prices remain on the higher end, but are cooling from recent peaks reflecting a healthier, more balanced market rather than a downturn. Homes are taking longer to sell, giving buyers more time while still rewarding well-priced listings. For 2026 sellers, thoughtful pricing and preparation matter more than timing alone.

Tippi Schalkham, a local mortgage professional with The Mortgage Firm, notes that buyer behavior in the market has more intention. “The mindset is shifting from wait and see to plan and adapt. As we head into 2026, it’s becoming clear that today’s pricing environment isn’t a short-term phase. Buyers who succeed are those adjusting expectations and focusing on what a realistic monthly payment looks like for their budget.”

“The best time to buy comes down to personal readiness and long-term affordability,” stated Schalkham, “not from trying to predict where rates or the market will go next.” While rates remain higher than historic lows, buyers are focusing on affordability tools such as rate buydowns, seller credits, and loan product options.

For sellers, the market is placing greater emphasis on pricing and flexibility. Buyers are paying closer attention to affordability, making seller concessions and realistic pricing more important than in recent years. Properties that align with current buyer expectations are moving, while others may require additional strategy to gain traction.

What Condo and Townhome Buyers Need to Know

Condo and townhome inventory followed a different pattern in 2025, with a slower market through much of the year in Volusia County before showing signs of recovery toward year’s end. Median sale prices dipped modestly year-over-year and inventory remains higher than single-family homes. Buyers are active and have negotiating leverage but are more selective with increased association costs and financing requirements continuing to influence decisions.

“Condo and townhome buyers, in particular, need to know that early lender involvement is essential,” comments Schalkham. “Financing these properties now requires additional review of association insurance, financials, and reserves. The process can be more complex and time-consuming than financing a single-family home.”

Local Guidance Ensures Success in 2026 Real Estate

For 2026, the real estate market is shaping up to be a year of more informed decision making. With conditions varying by property type, price point, and neighborhood, local insight matters more than ever. Buyers and sellers who take the time to understand their options and choose to work with experienced local real estate and lending professionals should be best positioned to navigate the market with clarity and confidence in the year ahead.