Written by Ben Bryk with Vero Premier Properties a signature division of Coldwell Banker Global luxury Vero Beach
As we kick off 2026, there's a spark of optimism in the air for anyone eyeing a home along Florida's Treasure Coast. On the very last day of 2025, the average 30-year fixed-rate mortgage dropped to 6.15% — the lowest point of the entire year and the best level since October 2024. This marks the third straight week of declines for the loan type that powers most U.S. home purchases.
Freddie Mac released the data a day early due to the New Year's holiday, and their chief economist, Sam Khater, called it “an encouraging sign for potential homebuyers heading into the new year.” The 15-year fixed-rate also eased to 5.44%, while daily snapshots (which can fluctuate more) showed the 30-year around 6.2% mid-week.
Here on the Treasure Coast, where the pace is relaxed and the views are unbeatable, this dip couldn't come at a better time. After a 2025 marked by higher rates, insurance challenges, and a cooling in some segments, inventory has been building and prices have stabilized or even softened in spots. Local markets in Vero Beach and Hutchinson Island saw median prices trend downward in parts of 2025, with homes taking longer to sell — creating more negotiating power for buyers.
And then there's Vero Beach, with its elegant barrier island vibe and serene mainland neighborhoods. From the upscale oceanfront estates to charming inland homes with easy access to beaches, golf, and cultural spots like the Vero Beach Museum of Art, the region offers something for everyone. In recent years, Vero Beach has stood out as a strong market for cash buyers and luxury properties, but as rates ease, financed buyers are poised to jump back in — potentially heating up demand for those dream coastal homes.
Of course, affordability remains a key conversation. Experts like Lisa Sturtevant from Bright MLS remind us that monthly payments have risen faster than incomes in recent years. “It is likely going to take several years of lower rates, slower home price growth, and increasing household incomes to make significant progress on affordability,” she noted.
The good news? Forecasts suggest 2026 could bring more balance — with rates potentially stabilizing around the low-to-mid 6% range, modest home price growth, and continued inventory increases. Florida's broader market is shifting toward buyer-friendly conditions, and our local Treasure Coast spots like Vero Beach and Hutchinson Island — with their laid-back lifestyle, pristine beaches, and relative value compared to South Florida — are well-positioned for a gentle rebound.
If you've been waiting for the right moment to explore properties here, early 2026 might just be it. The holidays brought quiet, but the new year brings opportunity. Whether you're dreaming of a beachfront retreat on Hutchinson Island or a stylish home overlooking Vero's coastline, lower rates could make that monthly payment feel a whole lot more manageable.
Here's to new beginnings, ocean views, and perhaps your next chapter right here on the Treasure Coast!
Click to view information about mortgages in Vero Beach
Click here to view luxury homes and condos in Vero Beach and on Hutchison Island
