Is the Housing Market Crashing—or Just Resetting?

End of January 2026 Market Update | VIDEO VERSION if you click here!

Are prices falling? Is the market crashing? Are buyers still sitting on the fence?

If I had to describe the 2025 real estate market in a single word, it would be resilient. While headlines continue to spark concern, the reality on the ground tells a more measured story. The market adjusted, buyers and sellers recalibrated, and transactions continued—just at a more thoughtful pace. Kudos to the agents who stayed consistent, educated their clients, and pushed forward despite the noise.

A Critical Update for Buyers

Buyers have been required to sign either a Buyer Broker Agreement or a Showing Agreement prior to scheduling any private property tours with a Realtor for some time now! It is expected even if an agent does not follow the “rules.” Open houses remain an exception—you may attend without signing anything—but for scheduled showings, this is mandatory.

And to be clear: this is not just a Florida rule. It is a nationwide requirement designed to create transparency and clearly define agency relationships.

Are all agents following this rule? Unfortunately, no.

A real-world example: One of our listings recently went pending after an agent notified us that her buyer planned to submit an offer. Unbeknownst to her, the buyer had already placed the home under contract with another Realtor—simply because that agent failed to require the legally mandated agreement. While it may seem convenient in the moment, ignoring this requirement exposes both agents and consumers to unnecessary risk.

Key Market Takeaways as We Close Out January 2026

Average 99 days on market from initial listing to pending
Homes are selling for approximately 93% of the final list price (not the original list price)
Inventory remains tighter, currently at 4.7 months of supply
Home values are down approximately 5–6% year-over-year compared to 2024

Market Q&A

Q1: Are home prices falling in Sarasota and surrounding areas?
Yes, modestly. Values are down approximately 5–6% year-over-year. This reflects a market correction—not a crash—and pricing has become more realistic rather than inflated.

Q2: Is now a good time to buy, or should buyers wait?
For buyers who are financially prepared, this market offers more negotiating power, fewer bidding wars, and better overall terms. Timing the bottom is nearly impossible—strategy and preparation matter far more.

Q3: Should sellers be worried about listing in 2026?
Not if homes are priced correctly and professionally marketed. Well-presented properties in desirable locations are still selling, especially when sellers align pricing with current market conditions rather than last year’s highs.

If you find this information helpful, I encourage you to subscribe so you don’t miss future market updates.

Thank you for watching, subscribing, liking, and commenting—it truly means more than you know. If you’re considering selling or purchasing a home in Manatee, Sarasota, or Charlotte County, I would love to help. Communication is my reputation, and your call is always important to me.

Contact Me Anytime

Shayla Twit
Sarasota, FL Realtor | CLHMS – GULD – Top 1%
Certified Luxury Home Marketing Specialist
Corcoran Dwellings
1947 Ringling Blvd
Sarasota, FL 34236

📞 Call/Text: (941) 544-7690
📧 Email: shaylatwit@gmail.com
🌐 www.shaylatwit.com