It’s time for an Interest Rate Reality Check!
The local market is showing three clear trends. Condos remain a buyer’s market, with prices continuing to drop and properties lingering on the market. However, once HOA and assessment fees stabilize under the new laws, this trend should level out and eventually reverse.
The window for snagging discounted, rehab-needy waterfront homes is closing. Over the next month or two, we’ll hit peak supply. After that, expect to see a flood of fully rehabbed, turn-key waterfront homes hitting the market. Once those sell off, the market will return to more typical conditions. This post-storm cycle has about twelve months left before things fully normalize.
Lastly, the situation is pretty straightforward in the non-condo, non-flood zone market. Well-priced, well-renovated homes are selling quickly. Everything else—which is a large chunk of current listings—is sitting for 70 to 100 days on market.
Now, let’s get into interest rates. If you’re waiting for them to drop in 2025, you might be waiting in vain. All indicators suggest interest rates will hold steady or even increase. Inflation has been rising for three straight months, and job reports continue to show strong growth. The Fed Chair has made it clear: they’re in no hurry to lower rates. While there are plenty of smart reasons to wait on buying a home, banking on lower interest rates probably shouldn’t be one of them.
What's going on around town?
We are getting a new park! – St. Pete is transforming nearly three acres along Salt Creek into a beautiful new park, which will include a pump station to help prevent flooding. With trails, greenery, and a smart design, it’s a win-win for the community and the environment. The St. Petersburg City Council unanimously approved spending up to $2.9 million for the land purchase and entering into a $5.1 million contract with Miami Beach-based Ric-Man Construction to complete pre-construction work for the Salt Creek pump station.
Vertical construction on the tallest building in St. Pete has been completed – The Residences at 400 Central has reached its full height, marking a milestone for the tallest residential tower on Florida’s Gulf Coast. The 46-story building will include 301 condos, 60,000 square feet of retail and restaurant space, Class A offices, and 900 parking spaces. With construction progressing, over two-thirds of the units are already under contract, leaving around 90 condos and several penthouses still available.
A Fresh New Spot is Opening at the St. Pete Pier! – A long-awaited addition to the St. Pete Pier, Perry’s Porch opened last week, honoring the city’s history and the vision of early developer C. Perry Snell. The cafe—created by Seed & Feed Hospitality—offers coffee, house-made ice cream, and a coastal Florida menu with Italian influences. With 150 seats along the waterfront, you can enjoy stunning views while sipping cocktails inspired by historic St. Pete landmarks. Text me—let’s grab a drink soon!
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Here is a 30-day snapshot of a few St. Petersburg areas:
OLD NORTHEAST
Active Statistics
Active Listings: 69
Pending Listings: 18
Avg. Days on Market: 86
Avg. Listing Price: $1,363,000
Avg. Listing Price per sq.ft: $637
Sold Statistics
Total Sold: 8
Avg. Sold Price: $1,189,000
Avg. Sold Price per sq.ft: $636
TREASURE ISLAND
Active Statistics
Active Listings: 52
Pending Listings: 12
Avg. Days on Market: 128
Avg. Listing Price: $941,000
Avg. Listing Price per sq.ft: $788
Sold Statistics
Total Sold: 0
Avg. Sold Price: $--
Avg. Sold Price per sq.ft: $--
GULFPORT
Active Statistics
Active Listings: 116
Pending Listings: 27
Avg. Days on Market: 75
Avg. Listing Price: $452,000
Avg. Listing Price per sq.ft: $335
Sold Statistics
Total Sold: 11
Avg. Sold Price: $350,000
Avg. Sold Price per sq.ft: $313
Want info on a specific neighborhood? Email me at ao@aaronoetting.com and I will send it over!