This edition: August market reality check: mortgage rates near 6%, inventory slowly improving, Florida buyers' market opportunity, short-term rental upside, and what selective buyers need to know right now.
A Note from Jim
Welcome to the August 2026 edition of The Jim Roman Group newsletter. We are in what I call the 'new normal' of real estate — mortgage rates near 6%, home prices holding steady, and buyers who are smarter, more selective, and more patient than at any point in the past five years. That is actually good news if you know how to navigate it. In Pennsylvania, the South Hills and North Hills suburbs remain competitive for well-priced homes, and fall is shaping up to be a strong window for sellers. In Florida, we are firmly in a buyers' market — inventory is up, days on market are longer, and motivated sellers are negotiating. If you have been waiting to buy in Florida, the window is open right now. This month I am covering the full picture: affordability under elevated rates, what selective buyers are actually doing, the short-term rental opportunity in Southwest Florida, and why demographics are keeping rental demand strong across both states. As always, call me directly with questions — 724-931-1803 (PA) or 239-414-8435 (FL). Here's to making smart moves, Jim Roman
Pennsylvania Market Update — August 2026
South Hills & North Hills Suburbs
The Pittsburgh metro continues to hold firm heading into late summer. Inventory remains below pre-pandemic norms, and while buyer activity has moderated slightly from the spring frenzy, well-priced homes in top school districts are still moving quickly. The market is not as frenzied as 2021–2022, but it is far from slow — sellers with realistic pricing expectations are doing well.
Median Sale Price (Allegheny Co.)
$318,000
Days on Market (avg)
17 days
List-to-Sale Ratio
100.8%
Months of Supply
1.9 months
- Upper St. Clair, Peters Township, and Pine-Richland continue to see strong demand from buyers prioritizing top-ranked school districts.
- Buyers are more selective in August — homes with deferred maintenance or aggressive pricing are sitting longer than they did in spring.
- Fall is the next strong selling window. September and October historically outperform August for PA sellers — if you are thinking of listing, now is the time to prepare.
- Wage growth in the Pittsburgh metro is outpacing home price appreciation for the first time since 2019, gradually improving affordability for local buyers.
Florida Market Update — August 2026
Southwest Florida: It Is a Buyers' Market — Act Now
Florida has shifted decisively into buyers' market territory across most of Southwest Florida. Inventory is up significantly from a year ago, days on market have stretched to 60–90 days in many submarkets, and sellers are negotiating on price, closing costs, and repairs in ways they simply were not 18 months ago. For PA buyers who have been watching from the sidelines, this is the window you have been waiting for.
Months of Supply (Lee County)
4.6 months
Median Sale Price (Lee County)
$385,000
Days on Market (SW FL avg)
68 days
Active Listings (Lee County)
7,100+
- People are still moving to Florida in large numbers — migration from the Northeast remains the primary demand driver, and that is not changing.
- Sellers are motivated. Concessions on closing costs, price reductions, and repair credits are all on the table in ways they were not in 2023–2024.
- Cape Coral and Punta Gorda offer the best value in Southwest Florida right now — waterfront access and newer construction at prices well below Naples and Sarasota.
- Insurance costs are stabilizing. New carriers have entered the Florida market in 2025–2026, and the annual 20–30% premium increases of prior years appear to be moderating.
For Buyers
Navigating Elevated Rates and a More Selective Market
The national median home price is approximately $410,000, up 2–4% year-over-year, and 30-year fixed mortgage rates are hovering near 6.0–6.4%. That is a very different environment from 2021, but it is also a more rational one. Buyers who do their homework, get pre-approved, and focus on total cost of ownership — not just purchase price — are finding real opportunities, especially in Florida.
Focus on total cost, not just purchase price
At 6% rates, a $400,000 home with a 20% down payment carries a principal and interest payment of about $1,919/month. Add taxes, insurance, and HOA and you are looking at $2,400–$3,200/month depending on the market. Run the full number before you fall in love with a listing — especially in Florida where insurance can add $500–$800/month.
In Florida, negotiate hard right now
With 4.6 months of supply and motivated sellers, buyers have real leverage in Southwest Florida. Ask for closing cost contributions (2–3% is reasonable), request a home warranty, and do not be afraid to negotiate on price. The market is on your side in a way it has not been since 2019.
Watch for assumable mortgages
A small but growing number of Florida sellers have FHA or VA loans with rates in the 3–4% range that qualified buyers can assume. These are rare but worth asking about — assuming a 3.5% mortgage on a $350,000 home saves $400–$600/month versus a new loan at 6.2%.
Close before December 31 for the Florida Homestead Exemption
If you close on a Florida primary residence before December 31, 2026, you can apply for the Homestead Exemption by March 1, 2027 and receive the tax benefit for the full 2027 tax year. This is worth $750–$1,500/year — do not miss the deadline.
For Sellers
Precision Pricing and Presentation Win in 2026
Today's buyers are more selective than at any point in the past five years. They are researching comparable sales, scrutinizing condition, and walking away from overpriced or poorly presented homes without a second look. The sellers who are winning in August 2026 are the ones who price accurately from day one and invest in presentation — professional photography, staging, and clean condition.
Price it right the first time — no exceptions
In PA's fast market, a home that does not go under contract in the first 10–14 days is already stigmatized. In Florida's more balanced market, a price reduction signals weakness and invites lowball offers. Accurate pricing from day one produces better outcomes than chasing the market down. I will give you a precise comparative market analysis before you list.
Professional photography is your #1 marketing investment
Homes with professional photography receive 40–60% more online views than homes with phone photos. In a market where buyers are selective and have more choices, first impressions on Zillow and Realtor.com determine whether they schedule a showing. I include professional photography on every listing I take — it is not optional.
PA sellers: Fall is your next strong window
September and October are historically the strongest months for PA sellers outside of spring. Buyers who did not find what they wanted in spring are motivated, inventory is still low, and the holiday slowdown has not yet set in. If you are thinking about listing, start preparing now — declutter, address deferred maintenance, and get a pre-listing inspection.
Florida sellers: Roof age and insurance are your biggest obstacles
Buyers and their lenders are scrutinizing roof age more than ever. If your roof is 15+ years old, get a proactive inspection and address any issues — or price to reflect the buyer's replacement cost. Homes with newer roofs, impact windows, and hip roof construction are commanding premiums and moving faster.
For Investors
Short-Term Rentals and the Florida Opportunity
August 2026 is one of the best entry points for Florida investment property in years. Prices are off their 2022–2023 peaks, motivated sellers are negotiating, and the short-term rental market — particularly VRBO and Airbnb — continues to generate strong revenue for well-located properties. If you have been waiting for the right moment to buy a Florida investment property or vacation home, that moment is now.
Short-term rentals: VRBO & Airbnb in Southwest Florida
This is a great time to purchase a vacation home or beachfront property in Florida and rent it out via VRBO or Airbnb. Canal-front homes in Cape Coral in the $380,000–$480,000 range are generating gross rental revenues of $45,000–$65,000/year. Gulf-access properties and homes near Fort Myers Beach are commanding even higher rates. With prices down from their peaks and motivated sellers, the buy-in cost is lower than it has been in three years.
Snowbird rentals: 6-month leases at premium rates
An alternative to nightly rentals is the snowbird model — renting your Florida property for 6 months (November through April) to a PA, OH, or NY family at $2,500–$4,500/month depending on location and size. This generates $15,000–$27,000 in seasonal income with far less management overhead than nightly rentals, and you keep the property for personal use in the summer months.
Pittsburgh multi-family: Steady cash flow in a stable market
Pittsburgh's urban core neighborhoods — Lawrenceville, Bloomfield, Polish Hill — continue to attract young professionals, driving rental demand. Small multi-family properties (2–4 units) are trading at 7–9x gross rent with cap rates of 5.5–7%. In a market where coastal cap rates have compressed to 3–4%, Pittsburgh multi-family offers compelling risk-adjusted returns.
1031 exchange: Sell PA, buy FL tax-deferred
Several of my PA investor clients are using 1031 exchanges to defer capital gains taxes when selling appreciated Pennsylvania investment properties and redeploying into Florida. The combination of no Florida state income tax and the 1031 deferral is a powerful wealth-building strategy. The 45-day identification and 180-day closing windows are strict — consult your tax advisor and call me early in the process so we can identify the right Florida property in time.
Market Intelligence & Resources
What Every Buyer, Seller, and Investor Should Know This Month
A roundup of the most important trends and data points shaping residential real estate in August 2026.
Mortgage rates: Where are they headed?
The Federal Reserve held rates steady at its July 2026 meeting. Most economists project one or two modest cuts before year-end, which could push 30-year fixed rates toward 5.8–6.0% by Q4 2026. That is not a dramatic shift, but even a half-point drop meaningfully improves monthly payments — a $400,000 loan at 5.8% saves about $120/month versus 6.4%. Buyers who lock in now and refinance later are making a reasonable bet.
Demographics are driving rental demand — and it is not slowing down
Gen Z and Millennials remain the largest renter cohorts in the country, with high student debt and delayed household formation keeping them in rentals longer than prior generations. In many Florida markets, renting is now cheaper than owning on a monthly basis, which is reinforcing rental retention. For investors, this means strong, durable demand for well-located rental properties in both PA and FL.
Technology is reshaping how homes are marketed
AI-powered virtual staging, image enhancement, and automated marketing are becoming standard tools for top agents. In a slower-moving market where buyers are selective, the quality of your listing's online presentation — photos, virtual tours, neighborhood data — directly impacts how many showings you get and how quickly you sell. I use professional photography, drone footage, and digital marketing on every listing.
New blog posts this month
I published seven new in-depth guides this month: Home Staging Tips That Sell Homes Faster, Understanding Closing Costs, Florida Property Taxes and the Homestead Exemption, How to Analyze a Rental Property, What Every Buyer Must Know About Home Inspections, Fixed vs. Adjustable Rate Mortgage, and When to Stop Renting in Florida and Buy. All available at thejimromangroup.com/blog.
Ready to Make Your Move?
Whether you are buying in Florida while the buyers' market window is open, preparing to list your PA home for fall, or evaluating a short-term rental investment — I am here to help. With 30+ years of experience and licenses in both Pennsylvania and Florida, I guide you through every step of the process.
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