October 2025 Housing Market Update: Miami & Chicago Insights

ProLux Studios Team
Oct 1
3 min read

As October begins, the U.S. housing market presents a mix of opportunities and challenges for buyers, sellers, and investors. Mortgage rates remain elevated but steady, inventory is climbing, and builders are capturing demand with incentives. At the same time, luxury sales are slowing, and affordability pressures remain front and center.

This blog covers the latest national trends and zooms in on two key markets — Miami–Fort Lauderdale and Chicago — while offering strategies for navigating today’s market.

National Overview: Rates, Prices & Sales

Mortgage Rates: The 30-year fixed averaged 6.30% as of September 25, 2025, per Freddie Mac.

Home Prices: The S&P CoreLogic Case-Shiller Index reported July prices up 1.7% YoY, though slightly lower month-to-month (-0.1%).
Existing Home Sales: NAR reported August sales at 4.00M SAAR, nearly flat from July (-0.2%) but 1.8% higher YoY. The median sales price hit a record August high of $422,600.
Pending Sales: Contracts rose 4% MoM in August, suggesting stronger fall activity.

👉 ProLux Tip for Sellers: With buyers comparing homes more carefully, professional

photography, drone shots, and 3D tours help listings stand out and justify premium pricing.

Inventory & New Construction

Realtor.com reports active listings up ~21% YoY in August. While still below pre-2019 norms, this gives buyers more options.

New-Home Sales: U.S. Census/HUD showed 800k SAAR sales in August, a 20.5% MoM increase. Builders are offering rate buydowns, upgrades, and closing credits to win buyers.
Housing Starts: Fell to 1.31M SAAR, down 8.5% MoM. Lower starts could limit future supply.

👉 ProLux Tip for Buyers: Compare new-construction incentives against resale opportunities. Builder credits may look attractive, but resale homes marketed with cinematic walkthroughs and floor plans can also reveal strong value.

Rental Market Trends

The rental market is finally cooling:

Apartment List: September median rent $1,394, down 0.8% YoY.
Zillow: August typical rent $2,007, flat MoM but still 2.4% higher YoY.

This shift gives renters more leverage and may slow first-time buyer urgency.

Local Insights: Miami–Fort Lauderdale

Miami (city): Median sale $670,000 (+8.9% YoY). Homes average 97 days on market, up from 86 last year.
Miami-Dade County: Median sale $555,000 (+3.7% YoY), with homes averaging 89 DOM.(Source: Redfin Miami Data)

Takeaway: Prices remain resilient, but slower sales mean sellers need sharper pricing and stronger presentation.

👉 ProLux Tip for South Florida Sellers: With homes sitting longer, twilight photography, aerials of waterfronts, and lifestyle-focused videos can set your listing apart from the competition.

Eye-level view of a modern Miami skyline with residential buildings — Modern Miami skyline showcasing residential buildings

Local Insights: Chicago

Chicago (city): Median sale $385,000 (+6.1% YoY). Homes average 55 DOM, indicating brisker sales.
Illinois (statewide): Median $317,300 (+5.5% YoY). Sales volume dipped slightly.(Source: Redfin Chicago Data)

Takeaway: Chicago’s market is steady, with values climbing and homes moving faster than in Miami.

👉 ProLux Tip for Chicago Agents: Highlight neighborhoods with interactive floor plans, drone tours of local amenities, and high-quality listing photos to appeal to buyers moving quickly.

High angle view of a Chicago residential neighborhood with diverse architecture — Residential neighborhood in Chicago showcasing diverse architectural styles

The Luxury Market: Marketing Strategies

The national luxury market shows divergence:

Median luxury sale price: $1.25M (+3.9% YoY).
Sales volume: down 0.7% YoY, the weakest August since 2013.(Source: Redfin Luxury Report)

What this means: Luxury buyers are more selective and patient. Sellers must differentiate with top-tier media marketing:

HDR photography to showcase interiors & finishes
Drone video for estates, land, and waterfronts
Cinematic walkthroughs to capture lifestyle
3D tours and floor plans for virtual reach

👉 ProLux specializes in luxury media. Our cinematic walkthroughs and curated imagery help sellers command attention in this selective segment. Contact ProLux Studios for custom packages.

Key Challenges: Affordability & Pricing Strategies

Even with rates steady, affordability remains tight. Sellers need to price homes based on the last 60 days of activity, not spring comps.

👉 ProLux Tip: Homes presented with media-rich listings — professional photography, virtual tours, and drone footage — gain more traction online, often reducing days on market.

Final Thoughts: Strategies for October 2025

The October 2025 housing market is shaped by steady mortgage rates, rising inventory, resilient prices, and shifting luxury dynamics.

Sellers: Price strategically, market with professional media, and consider concessions if DOM is rising.
Buyers: Compare builder incentives with resale concessions; lock rates when dips appear.
Investors: Watch rent trends and luxury softening; underwrite conservatively.

👉 For real estate professionals in Miami, Fort Lauderdale, and Chicago, the edge comes from presentation and storytelling. At ProLux Studios, we deliver the photography, drone footage, and 3D tours that transform listings into compelling marketing experiences.