As August arrives, the real estate world in Marco Island and Southwest Florida is showing early signs of change. After nearly a year of easing prices and extended time on the market, there’s a subtle shift underway. The market appears to be inching toward a more balanced state. For those watching and waiting, including buyers, sellers, and agents like Jon Busch at Sotheby’s International Realty, this season offers clarity—and opportunity.
Inventory has dropped by about 27% since its peak in May. Suddenly, choices are narrowing, and homes are less likely to linger indefinitely. More properties have recently undergone price reductions, with over 1,300 listings across the region lowering their asking price in a single week. Yet even with fewer homes up for grabs, we’re still looking at eight or more months of supply in many areas, meaning buyers hold a lot of power. On average, homes sell for roughly 7% below the listing price and take anywhere from 85 to 101 days to close. In short, it’s not a heated seller’s market—but the gap between buyer control and seller expectations is narrowing.
Shifting Winds: From Buying Advantage to Balanced Ground
Earlier this year, buyers were firmly in control. Listings sat for months. Buyers could make low-ball offers, ask for repairs, and walk away without much consequence. But as summer progresses, that dominance is starting to soften.
Jon Busch has seen it on the ground firsthand. He notes that while early summer saw properties languish, in July and now August, the pace has subtly adjusted. Buyers still negotiate heavily, and homes still stay on the market longer than in previous years, but pressure is building. Sellers who have updated their homes and adjusted prices are beginning to receive serious offers again. It isn’t a complete reversal, but more a leveling of the playing field.
Inventory Shrinks — And Strategy Matters Again
With the number of available homes declining by about 27% since May, the once vast pool of choices is shrinking. This doesn’t mean listings are moving back into scarcity; it means buyers can no longer wait out the market indefinitely. Properties that might have been the same as several others last month now stand out simply for still being available.
Jon points out that inventory decline is slower in some neighborhoods than others. Neighborhoods with newer construction or luxury waterfront homes still tip the scale toward buyer selection. Older condos, though still suffering from regulatory pressures, are beginning to pick up again—depending on HOA readiness. For sellers, this change means timing matters: listing in early or mid August could avoid increased competition heading into September’s fall rush, when inventory typically bottoms out inventory once again.
Price Cuts Aren’t Panic—They’re Strategy
Over 1,300 properties in the region saw price reductions in one week. That figure may look alarming at first glance, but for Jon and agents who follow market data, it’s not chaos—it’s adjustment. Buyers are still looking for deals, but they’re also more discerning than they used to be. Properties that were priced based on early 2023 values are not receiving offers. Enter the reduction.
Strategic price adjustments are now the norm. Clean presentation, minor upgrades, and well-structured listing conditions combined with leaner prices often convert interest into showings. Buyers appreciate transparency. Sellers benefit from activity. And for agents, the ability to advise clients on timing and margin—that’s where effective strategy wins the day.
High Supply, Continued Buyer Advantage—but Cracks Showing
Even in the midst of these changes, we’re still seeing eight plus months of inventory in many areas. That means there’s no runaway demand, buyers still have time to negotiate, and sellers must work harder for attention.
However, agents like Jon Busch emphasize that supply is regional. In beachfront luxury zones or canal neighborhoods, supply has diminished more than in inland or less popular parts of the island. As listings dip, even in those higher-end areas, buyer leverage begins to fade. That’s when momentum shifts. Sellers with homes priced in touch with current comps, properly staged, and marketed effectively are beginning to feel it.
Sales Trends: Real Offers and Real Data
It’s telling that across Southwest Florida, homes are still closing at an average of about 7% below list price. That gap tells both stories: buyers holding leverage, and sellers adjusting expectations. The average days on market ranged from 85 to 101 days—that’s still long for many markets, but much shorter than what marked early 2025. Commitments are closing sooner, and pricing is more accurate.
Jon’s listings echo this pattern: well-priced, well-presented homes get buyers in quickly and convert. Overpriced or poorly conditioned homes stay longer. That’s the shift: recognition that value, not aspiration, moves markets right now.
What Sellers Need to Know Right Now
If you’re thinking of selling, it’s essential to go into the price discussion with clear data. What closed last month? What sold in comparable areas, and what concessions were made? Homes that need subfloor repairs or faulty air conditioning are going to take deeper markdowns. Homes updated and certified for wind resistance or flood mitigation, with strong HOA documentation—those listings are seeing more activity.
Jon advises his clients to prepare early: professional photography, minor touch ups, HOA readiness, and staging can make the difference between selling at market or waiting longer and reducing price again. For sellers who embrace data-driven pricing now, they’re more likely to attract solid offers in the coming months.
What Buyers Should Keep in Mind
Buyers still hold cards—but patience is more important than ever. Submit strong, well-informed offers with pre-approval, inspection readiness, and contingency clarity. Properties under market value rarely last. Avoid overpaying—but don’t let low-ball delays cost you the better choice.
Jon encourages buyers to focus on value—but act when pricing aligns with market realities. If a property is priced realistically and reflects recent market activity, it’s worth moving early. Inventory dropout over the summer may lead to fewer comparable options later in the season.
Looking Ahead: Is Balance on the Horizon?
We’re approaching a turning point where the dominance of buyer-market dynamics is easing. The gap between asking price and sale price is narrowing; days on market are decreasing compared to earlier in the year; and inventory is declining at a steady pace.
August feels like the month where both sides see clearly: buyers see fewer choices, sellers see clearer feedback, and agents like Jon are working to guide both through a transitional market. Fall may bring further balance—or even a slight swing toward seller’s territory—but August is the bridge month. How effectively one navigates it with timing, preparation, and strategic insight can significantly shape the outcome.
Why It Matters for Real Estate Pros and Clients
For agents, understanding these subtle transitions is critical. Selling strategy now involves forecasting: when will supply dip further? Where are comps stabilizing? Which segments lead recovery—waterfront, luxury, or inland mid-tier?
For Jon Busch and other trusted agents, this means positioning clients—not just knowing data, but tailoring guidance to live trends in real time. A listing gone up last week on the same lot as three others? Might need emphasis and urgency. A buyer watching for weeks with no bids? Could see pricing opportunity next week if listings are fewer.
Conclusion: Opportunity in the Transition
August 2025 on Marco Island is a month of subtle but meaningful shift. Inventory is down, price drops are accelerating, and competition is cooling. Buyers still hold power, but the gap to sellers is narrowing. Data, strategy, and preparation matter—more than ever.
Whether you’re buying or selling, Jon Busch recommends clear pricing, clean presentation, and ready preparedness. If you’re entering the market now—or planning for fall—this period offers opportunity. With eyes on data and feet on local insight, success comes from being ready for change—not reacting to it.
Want to understand specific numbers for your neighborhood? Reach out for customized insights from Sotheby’s International Realty. I’m here to help you navigate these changes with clarity and confidence.
Let’s connect today, please call 239-269-9515 to speak with Jon Busch, or 239-404-0100 to speak with Susan Busch.
