Luxury & Waterfront Insights
Fourth Quarter 2025
As we close out 2025, the Space Coast luxury and waterfront market showed a constructive finish for both buyers and sellers. Mortgage rates eased, closed sales rose, and premium properties with strong fundamentals held steady even as inventory tightened.
Space Coast Year-End Snapshot
A constructive finish for both buyers and sellers
Mortgage rates opened 2025 near 7% and are now hovering around 6.25%, the low for the year. As rates eased, closed sales rose year over year—up 14.6% in October, 19.3% in November, with December still posting but trending higher.
Inventory has been sliding since April. Pricing in the premium segment (move-in ready, highly desirable homes with lower insurance exposure) has held steadier as supply tightened. Beyond seasonality, two forces drove the drop: some sellers withdrew when the market didn't meet their number, and recent closings further thinned active supply.
Price cuts are less common than summer's peak: in August, 52% of active listings had reductions; by year-end, Melbourne is at 45%. Even so, average sale price is about 6% lower year over year.
Buyers: It's more affordable today than a year ago—Brevard's average sale price is down about 6%, and rates are roughly 0.75 percentage points lower. The best homes still move fast, so have your strategy and pre-approval ready.
Sellers: Focus on the features buyers compete for, and launch with a clear pre-listing plan. With four decades of experience, 25% of our listings over the past 24 months sold at full price or higher. If that level of execution matters to you, let's schedule a 2026 listing strategy session.
~Dewayne
Explore the Full Report
Dive deeper into Q4 2025 luxury and waterfront market dynamics, emerging trends, pricing patterns, and strategic insights to navigate this evolving landscape successfully.
Market Questions Answered
Common questions about today's luxury and waterfront market
Is now a good time to buy waterfront property on the Space Coast?
Yes. Prices are down about 6% year over year, mortgage rates have dropped roughly 0.75 percentage points, and inventory is tighter—meaning less competition for premium properties. The best homes still move quickly, so being pre-approved and having a clear strategy matters.
Why are some luxury homes selling at full price while others sit?
Today's buyers are more selective. They're competing for move-in ready properties with lower insurance exposure, desirable locations, and strong fundamentals. Homes that check these boxes move fast. Those that don't are seeing longer market times and more price reductions.
What should sellers focus on to maximize their outcome?
Buyers want homes they can envision moving into immediately. Focus on presentation, address deferred maintenance, and launch with strategic pricing backed by a comprehensive pre-listing plan. Our track record shows that execution matters: 25% of our listings sold at or above asking price over the past 24 months.
How has inventory changed in the luxury segment?
Inventory has declined steadily since April. Some sellers pulled their listings when offers didn't meet expectations, and strong closings reduced active supply. This tightening has helped premium properties hold value better, especially those with desirable features and lower insurance risk.
What are mortgage rate trends heading into 2026?
Rates opened 2025 near 7% and finished the year around 6.25%—the lowest point of 2025. This easing has contributed to increased sales activity in Q4. While predicting future rates is uncertain, current levels offer meaningfully better affordability than a year ago.
How does the Space Coast compare to other Florida luxury markets?
The Space Coast offers compelling value compared to higher-priced coastal markets, with strong fundamentals including NASA's presence, growing aerospace sector, and exceptional waterfront access. Our market has shown resilience with premium properties maintaining steadier pricing even as overall inventory adjusts.
Ready to Make Your Move?
Whether you're buying or selling luxury waterfront property on the Space Coast, strategic execution makes all the difference. Let's discuss your 2026 real estate goals.
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