“When we are no longer able to change a situation – we are challenged to change ourselves.” — Viktor E. Frankl

For the past three years, many buyers and sellers have been waiting for the real estate market to change. For those who truly need to move, this may be the time to adjust expectations rather than wait for perfect conditions.

According to the January 2026 Market Review from the Northeast Florida Association of Realtors (compared to January 2025, all property types across six counties):

• Median Sales Price: $265,000 (down 5.0%)
• Closed Sales: 1,987 (down 6.6%)
• Pending Sales: 2,153 (down 18.2%)
• Active Inventory: 10,102 (down 10.4%)
• Months’ Supply of Inventory: 5.1 months (down 4.1%)

Industry analyst Alex Stewart from The Market Distillery notes that today’s market faces two primary challenges: unrealistic sellers and hesitant buyers.

Unlike 2008, today’s sellers are not under financial pressure. In fact:

• 44% of homeowners in 2024 owned their homes free and clear.
• Of those with a mortgage, 64% have interest rates below 5%.

There is no widespread financial distress pushing people to sell. Sellers who price their homes realistically, however, are getting them under contract quickly.

Buyers, on the other hand, are cautious due to uncertainty around mortgage rates, home prices, and broader economic concerns. Yet many buyers have stable incomes, and the median household income in the Jacksonville area has increased 62% over the past 10 years, largely driven by migration from higher-income markets.

We are already seeing encouraging signs.  Mortgage applications increased 12.9% from December on a seasonally adjusted basis and applications were 61.3% higher than a year earlier including purchase and refinance applications according to the Mortgage Bankers Association. Buyer activity has noticeably picked up.

Jacksonville continues to offer a lower cost of living compared to many Florida cities, and insurance costs are stabilizing and even trending slightly downward. We are very optimistic about this spring selling season in Northeast Florida.

If you are considering buying or selling, this market rewards preparation, realistic pricing, and strong guidance. Our team is here to help you navigate today’s conditions with confidence and clarity.