The Changing Real Estate Market in Saint Petersburg, FL (2025 Update)

Published: May 2025
By: Nanette Counselman -Price Group Realtors/Coldwell Banker

🌴 Why Saint Pete?

Saint Petersburg, Florida, continues to attract attention for its coastal charm, cultural vitality, and year-round sunshine. But beneath the surface of this vibrant city, the real estate landscape is undergoing significant changes. Whether you're a homeowner, investor, or first-time buyer, it’s crucial to understand what’s happening in today’s market.

📊 Market Overview: What’s Different in 2025?

After years of record growth following the 2020 boom, the Saint Petersburg market is beginning to stabilize. Interest rates have cooled buyer urgency, but the demand for homes—especially those near water or walkable neighborhoods—remains steady.

Key Shifts in 2025:

• Inventory is growing but remains below pre-pandemic levels.

• Price growth has slowed, moving toward a balanced market.

• Out-of-state buyers and cash offers are still prominent, particularly from northern metros.

This market isn't crashing—it’s correcting into something more sustainable.

📍 Neighborhoods to Watch

Certain neighborhoods in St. Pete continue to thrive thanks to their location, character, and future development potential.

🔥 Hot Spots:

• Coquina Key & Tropical Shores – Booming with waterfront appeal and larger lots.

• Old Northeast & Historic Kenwood – Rich in architecture and walkable amenities.

• South St. Pete – On the rise, with new developments and city investment reshaping the area.

If you're buying, these areas offer both quality of life and long-term upside.

🏗️ New Development Trends

Saint Petersburg is investing in its future with forward-thinking construction and redevelopment.

Current Trends Include:

• Accessory Dwelling Units (ADUs): Increasingly popular for multigenerational living and passive income.

• Luxury tear-downs: Older waterfront homes are being replaced with high-end modern builds.

• Mixed-use projects: Downtown and nearby corridors are seeing a rise in live-work-play developments.

These trends are reshaping not just the skyline—but how we live in the city.

🧭 What It Means for You

🏠 Homeowners:

Now’s the time to understand your property’s value. Homes with character, updates, or water access continue to command attention—but strategic pricing is key.

💼 Buyers:

Expect less competition than in recent years, but desirable homes still go quickly. Pre-approval and flexibility are your best assets.

📈 Investors:

Short-term rental potential, ADUs, and long-term appreciation in emerging neighborhoods continue to make Saint Pete an attractive market.

🌅 Final Thoughts

The Saint Petersburg real estate market is evolving, but its future remains bright. With a unique mix of lifestyle, location, and economic growth, our city continues to be one of Florida’s most dynamic housing markets.

📞 Ready to Talk Real Estate?

If you're thinking of buying, selling, or simply want an updated valuation of your home, I’m here to help. As an island specialist and local market expert, I bring insight, strategy, and passion to every transaction.

👉 Contact me today (256) 777-6566 or Email [email protected]  to schedule a consultation or request a free market analysis.