Niceville, Shalimar & Fort Walton Beach Waterfront Detached Single Family Homes Real Estate Market Report - January 2026

Fort Walton Beach, Niceville & Shalimar, Florida

MLS Data Compiled by Jim Whatley, Uber Realty | Licensed FL Broker #BK3174026

EXECUTIVE SUMMARY

Waterfront single-family homes in the Fort Walton Beach and Niceville markets averaged $454 per square foot in sales during January 2026, with 19 active listings currently spending an average of 128 days on market. The luxury waterfront segment shows a split market: properties priced correctly are moving in 40 days (pending average), while overpriced inventory sits for extended periods. With only 4 homes under contract and 6 sold in the past 36 days across Bay, Bayou, Canal, and Gulf frontage properties, buyers maintain selective negotiating power in this high-end coastal market.

Note: This CMA data covers Fort Walton Beach and Niceville waterfront properties. Shalimar waterfront inventory was not included in this MLS pull and would require separate analysis.

MARKET SNAPSHOT TABLE

Waterfront Sales - January 2026

Fort Walton Beach & Niceville, Florida

Metric	January 2026
Total Sales	5
Median Sale Price	$1,625,000
Average $/SqFt	$459
Highest Sale	$4,400,000
Lowest Sale	$425,000
Average Days on Market	106 days

Data compiled by Jim Whatley, über Realty | FL Broker #BK3174026

*Prior month comparison unavailable for this report period

INVENTORY ANALYSIS

The waterfront market across Fort Walton Beach and Niceville currently holds 19 active listings ranging from $769,000 to $3,800,000, with a median asking price of $1,650,000. Active inventory averages 4,465 square feet and spans build years from 1964 to 2026, including both legacy waterfront estates and new construction commanding premium pricing.

Current active listings show significant price stratification. Eight properties are listed above $2 million, representing the ultra-luxury Bay and Gulf-front segment. Mid-tier waterfront ($1 million to $2 million) accounts for 7 listings, while only 4 properties offer waterfront access below $1.1 million. The most affordable waterfront entry point currently sits at $769,000 for a 3,294-square-foot home on Lighthouse Road.

With 19 active listings serving two cities across multiple waterfront types (Bay, Bayou, Canal, Gulf), inventory remains relatively tight for a market of this geographic scope. The 128-day average time on market for active listings suggests pricing discipline is critical—properties sitting longest are those testing the high end of market tolerance.

GEOGRAPHIC BREAKDOWN

Fort Walton Beach Waterfront

Fort Walton Beach properties in this dataset include premium Gulf-front and Sound-side inventory. Notable active listings include 191 W Miracle Strip Parkway, a new 2026-built Gulf-front property at $2,750,000 ($659/sqft), and multiple Bay-front estates along Boulevard of the Champions.

Fort Walton Beach recorded 2 sales in the 36-day period, including 753 Boulevard of the Champions which sold for $2,500,000 ($428/sqft) after 72 days on market, and a smaller 1,000-square-foot property on NE Laurie Drive that sold for $425,000 ($425/sqft).

Niceville Waterfront

Niceville's waterfront inventory includes Bluewater Bay canal and Bayou properties, Rocky Bayou waterfront, and Boggy Bayou locations. Active Niceville listings show diverse price points from $999,000 (Carl Brandt Drive) to $3,500,000 (Plantation Oaks Drive).

Niceville accounted for 4 confirmed sales in the period, with standout transactions including 6 Sunset Beach Place at $4,400,000 ($685/sqft) after just 12 days on market, and 2582 Vista Circle which sold for $2,075,000 ($484/sqft). The fastest-moving Niceville sale was Sunset Beach Place, demonstrating that premium waterfront priced correctly attracts immediate buyer action.

Shalimar Waterfront

Data Limitation: This MLS pull specifically filtered for Fort Walton Beach and Niceville areas. Shalimar waterfront properties were not included in this analysis and would require a separate CMA query to provide accurate inventory and sales data for that market.

PRICING TRENDS

Waterfront homes that closed in the 36-day period ending February 5, 2026 achieved a median sale price of $1,850,000 and averaged $454 per square foot. The highest sale was 6 Sunset Beach Place in Niceville at $4,400,000 ($685/sqft), while the lowest was a 1,000-square-foot Fort Walton Beach property at $425,000 ($425/sqft).

Sellers received an average of 96.6% of their asking price, calculated from the 6 closed transactions. This indicates minimal negotiation room in the waterfront market when properties are priced according to market value. For example, 753 Boulevard of the Champions sold at 97.4% of list price ($2,500,000 vs $2,566,000 asking), while 23 Paradise Point Road settled at 87.8% of list ($1,625,000 vs $1,850,000 asking) after 190 days on market—demonstrating the price correction that occurs when properties sit.

Active inventory currently asks an average of $443 per square foot, slightly below the $454/sqft realized by recent sales. However, the wide DOM spread (128 days average for active vs 100 days for sold) suggests some active listings are overpriced relative to buyer expectations. Properties listed in the $1.5M-$2.5M range are experiencing the longest market times, with several exceeding 150+ days active.

Four pending sales averaged $396 per square foot at list price—notably lower than recent closed prices—which may indicate these buyers found value properties or negotiated during the contract period. These pendings averaged just 40 days to contract, half the time of current active listings.

DAYS ON MARKET ANALYSIS

Active waterfront listings have been on market an average of 128 days as of February 5, 2026, with a concerning number showing extended market times. Five properties exceed 200 days active, including 35 Poquito Road at 650 days and 15 Plantation Oaks Drive at 36 days (likely a recent price adjustment given low DOM).

In sharp contrast, properties that sold in the prior 36 days averaged 100 days from listing to closing. More telling is the variance: the fastest sale closed in 12 days (6 Sunset Beach Place at $4.4M), while the slowest took 281 days (2582 Vista Circle). Three of the six sales closed in under 75 days, suggesting properly priced waterfront moves decisively.

Pending properties currently average 40 days to contract—less than one-third the time of active listings. This delta between 40-day pendings and 128-day active inventory reveals a two-tier market: homes priced to current market conditions are contracting quickly, while aspirational pricing leads to extended DOM and eventual price reductions.

For waterfront buyers, properties active beyond 90 days may present negotiation opportunities, particularly in the $1.5M-$2.5M range where inventory depth is greatest.

MARKET TEMPERATURE

The Fort Walton Beach and Niceville waterfront market presents as a selective buyer's market in February 2026, characterized by adequate inventory (19 active listings), extended days on market (128 average), and buyer discretion in choosing between competing properties at similar price points.

Evidence supporting this assessment includes the 40-day average to contract for pending sales versus 128 days on market for active inventory, the wide spread between asking prices and eventual sale prices for properties with extended DOM, and the concentration of long-term listings (5 properties over 200 days active). Buyers are demonstrating patience and pricing discipline, waiting for sellers to meet market expectations rather than bidding competitively.

However, this market shows pockets of seller strength at the ultra-premium level: 6 Sunset Beach Place sold in 12 days at $4.4M with minimal negotiation, proving that exceptional waterfront properties still command quick sales at full price. The sub-$1M waterfront segment also shows tighter dynamics with limited inventory (only 1 active listing below $1M).

The 96.6% list-to-sale ratio confirms that sellers ultimately receive close to asking price—but only after proper pricing and realistic market time expectations. First-time waterfront buyers have negotiating leverage; sellers seeking quick sales must price competitively from day one.

EXPERT COMMENTARY

"The waterfront market in our area is tale of two segments right now," says Jim Whatley, licensed Florida broker with 19 years serving the Niceville, Fort Walton Beach, and Shalimar markets. "If you're a buyer with $1.5 million to $2.5 million to spend, you're in the driver's seat. Multiple properties are competing for your attention, and sellers are getting more realistic after seeing their listings sit for months. But if you want true trophy waterfront—deep water, Gulf access, or pristine Choctawhatchee Bay frontage—you need to act when the right property hits the market, as we saw with the Sunset Beach sale."

Whatley notes that the 36 days of sales data (6 closings) versus 4 pending contracts suggests a slowdown typical of January-February seasonality, but cautions against reading too much into short-term volume. "February through April typically see buyer activity increase as military transfers and retiree relocations accelerate heading into summer. Sellers listing now are positioning for that spring surge."

For sellers, Whatley emphasizes pricing discipline: "Your realtor can show you comparable sales all day, but the market is the final arbiter. When you see properties sitting 200, 300, even 600+ days active, that's not a market problem—that's a pricing problem. Start competitive, adjust quickly if needed, and you'll be under contract in 60-90 days. Start aspirational, and you'll watch newer listings sell while yours grows stale."

For buyers, the opportunity lies in inventory depth and seller motivation. "With 19 active choices and limited competition from other buyers—only 4 properties pending tells you something—you can be selective. Get pre-approved, work with an agent who knows waterfront nuances like flood zones and dock permits, and make competitive but fair offers. Sellers are listening right now."

DATA SOURCE & METHODOLOGY

This report analyzes MLS data for waterfront detached single-family homes in Fort Walton Beach and Niceville, Florida, covering properties with 'Active,' 'Pending,' 'Sold,' and 'Coming Soon' status as of February 5, 2026, at 3:55 PM. Waterfront designation includes Bay, Bayou, Canal, or Gulf frontage. Sold properties reflect transactions closing within the 36 days prior to the report date (approximately January 1 - February 5, 2026). Pending properties include those going under contract within 36 days prior to report date.

Geographic Limitation: This CMA query specifically filtered for Fort Walton Beach and Niceville areas per MLS criteria. Shalimar waterfront properties were not included in this dataset and would require separate analysis to provide comprehensive coverage of that market.

Compiled by Uber Realty, licensed Florida brokerage (BK3174026) serving Niceville, Shalimar, Fort Walton Beach, and surrounding Okaloosa County communities since 2007. Data sourced from Emerald Coast Association of Realtors Multiple Listing Service (ECARMLS).