From Builder to Broker: How Construction Expertise Creates Market Advantages in St. Augustine

Written by:

Steve Marcinuk

Date:

09 Feb 2026

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Matt Territo, team leader of Team Territo, shows that his path from construction to real estate sales in St. Augustine marks more than a career change; it reflects a shift in priorities shaped by family and the realities of building in a demanding coastal market and years of overseeing complex construction projects, where hundreds of thousands of dollars were on the line, left Territo searching for a new way to balance work and life. The birth of his first child in 2018 was the turning point.

“Building occupied a lot of my time. I was definitely angry a lot. Things don’t go well, your mistakes are costly, your overhead is very stressful,” Territo says. Managing projects with billables of $400,000 to $500,000 meant personal financial risk. “If you don’t get that next paycheck, all of your hard work is gone,” he explains. Stepping into real estate offered relief from constant stress and gave him more time for family. “I don’t get the builder’s headache anymore,” he says. “I literally got headaches all the time.”

Construction Knowledge as a Market Advantage

Territo’s background as a builder is a clear asset in St. Augustine’s diverse housing market, especially on Anastasia Island, where homes range from historic to new construction. His ability to evaluate a property’s structural condition gives clients an edge in a region where coastal weather accelerates wear and tear.

“I do a visual inspection,” Territo says. “I feel that I can see through walls now. Not like a superpower, but I’ve done it so long that you can actually identify issues.” This experience is particularly valuable on the island, where salt air, high humidity, and near-constant use of HVAC systems put extra strain on homes. “Your AC is running 10 months out of the year here. There’s a lot of aluminum, a lot of steel on HVAC systems, and we have an ocean on both sides of us, literally. Your equipment gets beat up.”

His expertise also extends to local codes and historical construction practices. When a recent inspection flagged a missing GFCI outlet for a hot tub, Territo knew to check if the outlet was hidden behind the tub panel, a detail that matched the code when the home was built. This level of insight prevents unnecessary repairs and gives buyers confidence during negotiations.

Changing Demographics and Buyer Motivations

Over the past decade, St. Augustine has attracted a changing mix of residents. Early in Territo’s real estate career, his buyers mainly were retirees from northern states, often in their 50s, 60s, or 70s, seeking a warmer climate and a new lifestyle.

The pandemic disrupted this pattern. “Our typical customer was completely different. It was a family moving down from another state. The key thing that people wanted during COVID was a pool in their yard. They wanted their home compound so that they didn’t have to leave,” Territo explains. Demand for single-family homes with outdoor amenities soared, and families replaced retirees as the dominant buyer group.

Now, a new trend is emerging. Many of those early retirees are selling their Florida homes and returning north to be near grandchildren. “Probably the biggest reason that people go back to where they were from, especially in the retired demographic, is grandkids they’re having,” Territo notes. This cycle is visible in the market today: “We’re selling houses that we’ve sold before to people. People have moved and left and gone back.”

Interest Rates and Market Correction

St. Augustine, like much of Florida, experienced rapid price appreciation during the pandemic, with home values nearly doubling since March 2020. The subsequent rise in interest rates over the past 18 months triggered a necessary market correction.

“We went from 30 days inventory to 16 months inventory,” Territo says, describing how listings lingered, some for over 200 days. Many sellers had to adjust expectations as properties sat unsold. However, he points out that today’s 6%-7% mortgage rates are historically normal, even if they feel high compared with recent lows.

The correction has been healthy, Territo argues. Prices that soared during the pandemic have settled at more sustainable levels. “Last year was definitely the year to buy. I think last year was the year to get the deal and close with some good equity in your home.” As of January 2026, he reports renewed activity: “Prices have adjusted. People know what they are. And now that everything is going under contract, prices are going up a little bit.”

Insurance Costs and Infrastructure Challenges

Insurance is a central concern in Florida’s coastal markets, with roof age emerging as the most critical factor. Insurance companies generally require roofs to be less than 15 years old to qualify for affordable coverage.

“Once your roof gets over 15 years old, your insurance costs get crazy,” Territo says. He experienced this firsthand when his homeowners’ insurance nearly tripled, only to drop back down after he replaced his roof. “My insurance went up to almost $10,000 a year. After I put my roof on, it dropped back down to a little under $4,000.”

This creates tough negotiations between buyers and sellers. “Everybody wants to negotiate that roof replacement. The seller doesn’t want to pay for a new roof for somebody, and the buyer doesn’t want to pay for half a roof that they see as the seller’s roof.” To avoid last-minute surprises, Territo connects buyers with local insurance providers early in the contract process.

The Value of Location

Territo sees long-term value in St. Augustine, especially on the island, where scarcity and lifestyle drive premiums. He points to a recent example: a 1976 house on a half-acre with exceptional views, priced at $1.25 million. “If you take that house and move it 10 minutes inland, 15 minutes inland, you’re talking about maybe $400,000.” The difference reflects not just real estate fundamentals but the unique appeal of island living.

“We live in a very unique place that was undervalued for a very long time, and I still feel it’s undervalued as people find out about it,” Territo says. He credits the area’s enduring appeal to its combination of history, natural beauty, and a lifestyle that can’t be replicated elsewhere. “The island is the island. St. Augustine proper is the old part, and all of that can’t be recreated.”

Teamwork and Relationship Building

Working with his wife, Gretchen, Territo has built a business model focused on relationships and support—a lesson he learned from his construction days, when reliable teams were critical. “We work on every deal together. A lot of people don’t meet Gretchen, but they talk to her all the time like they know her very well,” he says. “She’s the introvert, I’m the extrovert. She’s the brains behind the team.”

Rather than maximizing transaction volume, the Territos prioritize time spent with clients, especially during property tours. “The most important thing is the time we spend in the car together looking at houses. If I’m doing my job correctly, after some time in the car, I really don’t even need them anymore. I can find their house for them.”

This approach leads to long-term relationships, with many clients returning for subsequent moves or referring friends and family. Unlike construction, where projects end and teams disperse, real estate allows Territo to stay connected with clients for years.

Looking Ahead

St. Augustine’s evolution from a quiet coastal town to a sought-after destination has accelerated in recent years. Still, Territo believes the current market correction offers an opportunity for buyers and investors who understand the area’s value.

“We have corrected. Our inventory is correcting. Our prices are correct. It’s a great time to buy,” he says. “That’s not a sales pitch. I think it’s a fantastic time.”

For those considering St. Augustine, Territo’s construction background and decade of local experience provide a distinct advantage in navigating inspections, insurance, and negotiations. His journey from builder to broker highlights the value of practical expertise and local insight for buyers seeking lasting value in a complex market.

As the region continues to attract new residents and investors, those who look beyond surface-level trends and rely on informed, experienced professionals are best positioned to succeed in St. Augustine’s evolving real estate landscape.