As of May 2025, the Cape Coral real estate market is experiencing a transitional phase, marked by declining home prices, increased inventory, and shifting buyer dynamics.

Home Prices and Market Activity

Average Home Value: Approximately $362,913, reflecting a 7.5% decrease over the past year. 

Median Sale Price: Around $390,000, down 2.5% compared to the previous year.

Sales Trends: In February 2025, 379 homes were sold, a decline from 443 sales in the same month the previous year.

Inventory and Market Conditions

Homes for Sale: As of April 2025, there were 5,502 homes listed, marking a 2.9% increase from the previous month.

Months of Supply: The market has a 10-month supply of homes, up by 2.4 months since February 2024, indicating a shift towards a buyer's market.

Pricing Dynamics: Approximately 72% of homes sold in April 2025 were below the asking price, suggesting increased negotiation power for buyers.

Outlook and Investment Considerations

Despite recent declines, projections indicate a potential recovery in the Cape Coral housing market:

Sales Forecast: Home sales are expected to increase by 13.2% in 2025. Florida Politics
Price Appreciation: Home prices are projected to rise by 9.6% in 2025, reflecting renewed buyer interest and market stabilization.

Cape Coral's affordability compared to other Florida cities, combined with its extensive canal systems and waterfront properties, continues to attract retirees, second-home buyers, and investors seeking long-term growth opportunities. 

In summary, while the Cape Coral real estate market has faced recent challenges, indicators suggest a potential rebound in the coming months. Buyers may find favorable conditions currently, while investors might anticipate appreciation as the market stabilizes.