The median U.S. condo sale price declined 2.2% year over year to $354,100 in May, making it the second largest annual decrease since records began in 2012. Only April 2023 saw a steeper fall, when condo prices dropped 2.9%, according to Redfin.
Condo sellers currently outnumber buyers by roughly 80%, as many owners look to exit properties burdened by rising HOA fees, surging insurance costs, and unexpected special assessments. Meanwhile, many potential buyers are deterred by those same financial pressures. Additionally, restrictions on FHA loan approvals in many condo associations are stalling deals, limiting access to financing for entry-level buyers.
Condo sales fell 11.9% year over year in May, the steepest drop since June 2024 and more than triple the 3.7% decline in single-family home sales. Overall, both condo and single-family home sales dropped to their lowest May levels since 2020, with condo transactions marking the second lowest level ever recorded for that month. The typical condo took 46 days to go under contract—seven days longer than a year earlier—while single-family homes took 38 days, up six days.
The number of active condo listings reached its highest point in a decade, signaling growing supply. In contrast, the supply of single-family homes hit its highest level since 2019. The oversupply and extended time on the market are prompting some sellers to offer concessions or accept lower-than-asking prices.
Deltona, Florida experienced the sharpest price decline among 66 major U.S. metros analyzed, with median condo prices down 32.2%. Crestview, Florida followed at 32%, ahead of Houston (-23%), Oakland (-20.3%), and Tampa (-19%). Seven of the ten metros with the biggest price drops are in Florida, and two are in Texas.
Condo sales also declined most dramatically in Florida and Texas. Dallas saw a 33.3% drop, followed by Palm Bay (-32.8%), Phoenix (-32.7%), Port St. Lucie (-31.5%), and Orlando (-31%). Florida accounted for seven of the top ten metros with the largest sales decreases.
In contrast, some eastern markets showed resilience. New Brunswick, New Jersey led price increases with a 14.9% year-over-year gain, followed by Montgomery County, Pennsylvania (14.1%), Pittsburgh (14.1%), San Francisco (8.8%), and Ocean City, New Jersey (8.2%). On the sales side, Indianapolis posted the strongest growth at 27.3%, followed by Portland, Maine (19.2%), Charleston, South Carolina (11.5%), Montgomery County (10.8%), and Ocean City (8.4%).