The Hot Springs Shift: Why 2025 Was a Record Year for Luxury (and a Reset for Lake Condos)

As we review the 2025 market performance for Garland County, the story is one of robust growth, particularly in our unique resort and second-home segments. This year underscored the enduring appeal of the Hot Springs lifestyle, but also highlighted nuances for savvy buyers and sellers.

Garland County Market at a Glance: The overall market experienced impressive momentum, with Total Sales Volume surging to over $553 Million – a remarkable 13.4% increase from the previous year. This growth, alongside a 16.7% rise in year-end inventory, indicates a vibrant and expanding real estate landscape.

(Data Source: Cooperative Arkansas Realtors® MLS)

The Luxury Market Continues Its Ascent: Our high-end sector remains exceptionally strong. We saw a stunning 33% increase in luxury home sales ($1 Million+), with 56 prestigious properties finding new owners in 2025. This significant uptick confirms that Hot Springs is not just a destination, but a top-tier investment for discerning buyers seeking premium amenities and unparalleled quality of life.

Navigating the Lake Condo Landscape: The lakefront condo market, a cornerstone of our resort appeal, tells a more detailed story. While 107 lake condos were sold—a slight increase in volume—the average price adjusted to $343,170, reflecting a 6.8% decrease from 2024. This shift is largely influenced by the stricter lending environment impacting financing for "condo-tel" and non-warrantable projects. For buyers, this presents a unique opportunity to acquire prime lakefront property with more negotiating power than we've seen in recent years. For sellers, it underscores the need for expert guidance in pricing and presentation.

My Professional Outlook: As your dedicated REALTOR® specializing in the luxury and resort market, I believe 2026 will be a pivotal year. The rise in inventory, coupled with specialized market conditions, means that strategic insight and proactive representation are more valuable than ever.

Whether you're considering selling your cherished lake home or looking to invest in the lifestyle you deserve, I am here to provide the expertise and personalized service you need to achieve your real estate goals.

Let's connect to discuss how these market trends impact your specific property aspirations.

Warmly,

Jeff Kennedy, REALTOR®