Lee County Housing & Economic Trends May 2025

May 13, 2025 Lee, Market Trends
People dining outdoors and walking along brick streets in downtown Fort Myers, representing Lee County economic and housing trends

Lee County is seeing changes on several fronts. Listings are rising, sales are slowing, and decision-making is taking longer. At the same time, job growth has cooled while new development and road projects continue across the region.

We turned to two recent FGCU reports: the May 2025 Regional Economic Indicators and the Q2 2025 Executive Business Climate Survey. These provide data on employment, tourism, housing, business sentiment, and more.

Key Takeaways (TL;DR)

  • Only 20% of Lee County executives say the economy is better than last year.
  • Regional unemployment rose to 4.1% in March 2025.
  • Active residential listings across Southwest Florida climbed 40% year-over-year.
  • Lee County home sales and showings have slowed, with longer decision times.
  • Trade concerns and slower job growth could influence demand in coming months.

FGCU Business Outlook – What Leaders Are Saying

Confidence is cooling among local executives. Only 20% believe the economy is stronger than a year ago, while 39% say conditions have worsened. FGCU’s Executive Business Climate Index dropped to 52.1, down from 54.6 the prior quarter.

Hiring and investment plans reflect that caution. While 31% of business owners expect to hire, most plan to keep staffing steady rather than expand. The unemployment rate in the region rose to 4.1% in March 2025, up from 3.8% in December. That suggests stability overall, but also less momentum than in recent years.

Aerial view of Colonial Boulevard's Diverging Diamond Interchange in Fort Myers with nearby commercial development.
New roadwork and commercial development at Colonial Boulevard’s DDI highlight Fort Myers’ continued investment in infrastructure and traffic flow.

Southwest Florida Housing Trends

Residential active listings across Southwest Florida reached 28,040 in March 2025, a 40% jump from the year before. Single-family sales dipped 5% year-over-year, showing a slower pace compared to the highs of 2021 and 2022.

Inventory is giving buyers more leverage, but Realtors expect some tightening as summer activity builds. For a closer look at local details, view our May 2025 Lee County Market Report.

Drone view of the Edison Ford Winter Estates with downtown Fort Myers and the Caloosahatchee River in the background.
View of the historic Edison Ford Winter Estates with downtown Fort Myers rising in the background—a blend of heritage and modern growth.

Tourism and Trade Pressures

Tourism is holding steady overall, but coastal communities like Sanibel and Fort Myers Beach continue to feel the effects of storm recovery, with fewer rentals available.

Trade issues are also weighing on confidence. Nearly half of Lee County executives expressed concern about how tariffs may affect their business. Canadian buyers in particular have been affected, with fewer visits and canceled purchases. Local tourism officials continue working to promote the region more broadly.

At the same time, Fort Myers itself is experiencing a cultural shift. Population growth and migration trends are reshaping the city’s identity. For a deeper dive into this transformation, explore Fort Myers: The Brooklyn of the Gulf Coast.

Aerial view of the new $434 million Lee Health hospital under construction in Fort Myers with future 44-bed ER and 10 operating rooms.
Construction progress on Lee Health’s new $434 million hospital off Challenger Boulevard. The upcoming facility will feature a 44-bed ER and 10 operating rooms.

Key Market Signals for Homeowners

At Worthington Realty, we see these shifts in real time. Homes that used to attract multiple offers in the first week are now seeing fewer showings and slower decisions. Buyers are patient, weighing options carefully and waiting for clarity on pricing or interest rates.

For sellers, this means patience and preparation are key. Homes must be presented well and priced realistically. If you want ideas to make your property stand out, download our free Home Staging Guide.

Even if you are not planning to sell, it is worth paying attention to the forces that shape long-term value:

  • Inventory and time on market: more listings can put pressure on prices.
  • Job stability: employment trends influence buyer demand.
  • Consumer confidence: declines can slow purchases and renovations.
  • Policy and trade: tariffs affect costs and outside investment.
  • New development: projects such as Lee Health’s expansion and Tampa General’s Babcock Ranch work can bring fresh growth.

How Homeowners Can Survive Market Shifts

The market has eased off its fastest pace. This is not a crash, but a season that calls for sharper observation, better questions, and decisions based on both data and experience.

Information overload is common today. Homeowners are told to “do their own research,” but the flood of headlines and opinions can be overwhelming. At Worthington Realty, we believe clarity leads to confidence. That means giving you facts, context, and a local perspective you can rely on.

Your home is not just a financial asset. It reflects where you are now and what matters most in the next chapter of your life. If you want help making sense of how today’s conditions connect to your neighborhood, let’s talk.

Aerial photo of Centennial Park and the Edison Bridge over the Caloosahatchee River in Fort Myers.
Centennial Park sits at the edge of downtown Fort Myers, offering green space, playgrounds, and waterfront views along the Caloosahatchee River.

FAQs About Lee County’s Economy and Housing

What is the current unemployment rate in Lee County?

The regional unemployment rate was 4.1% in March 2025, up from 3.8% in December. It suggests a cautious but stable job market.

How has business confidence changed in 2025?

FGCU’s Executive Business Climate Index fell to 52.1 in Q2 2025, showing that many executives are holding back on hiring and investment.

How many homes are on the market in Southwest Florida?

As of March 2025, there were 28,040 active residential listings, a 40% increase compared to the year before.

Where can I read the detailed FGCU economic reports?

You can access the full data via Florida Gulf Coast University’s Regional Economic Indicators—May 2025 and the Q2 2025 Executive Business Climate Survey.

How should homeowners prepare in a slower market?

Homes that are well-staged and priced realistically still sell. Using resources like our Home Staging Guide can help you make the most of today’s conditions.

Final Thoughts

Lee County’s economy and housing market are both showing signs of caution. Business leaders are less optimistic, inventory is higher, and buyers are moving more slowly. Sellers can still succeed, but preparation and realistic pricing are essential.

If you are planning your next move, explore Fort Myers homes for sale or see our Market Trends updates for deeper insights into Southwest Florida real estate.

Most homeowners feel overwhelmed when it’s time to move. At Worthington Realty, we provide personalized guidance and clear communication so that you feel heard, valued, and confident in your decisions.

 

Michael Davis

Michael Davis is a co-owner of Worthington Realty, where his mission is to help homeowners feel heard, valued, and confident in their decisions. As a Gallup-Certified Strengths Coach, he also guides business leaders and real estate professionals to lean into their strengths and build lasting trust. Michael leads Worthington Realty’s branding and market analysis, publishing insights that help Southwest Florida buyers, sellers, and investors understand the trends shaping their decisions.

Buying or selling a home can be stressful

Worrying about deals falling through or agents who don’t listen. Serving Southwest Florida since 1989, we help you feel heard, valued, and confident every step of the way.

Home Buying Guide