Home Hunting in 2025: Buyers and sellers can expect improvement ...Saudi Arabia

Related Articles

The sun is set to shine on home buyers and sellers in 2025, when the first balanced real estate market in nine years will emerge, driven by an increasing inventory of homes for sale, according to the 2025 Realtor.com® Housing Forecast for the U.S.

Single-family home starts are projected to rise by 13.8% nationwide, reaching 1.1 million new homes – a level not seen since 2006. Additionally, existing home inventory is expected to increase by 11.7%, continuing the 2024 trend of more homeowners opting to sell their properties.

Meanwhile, home sale prices will climb by 3.7%, while mortgage rates will likely hover above 6%. Rent prices will remain largely unchanged, providing some stability for renters.

“For now, we expect a gradual improvement in housing market dynamics powered by broader economic factors,” said Danielle Hale, chief economist atRealtor.com. Hale noted that policies under the new presidential administration could either bolster or hinder the housing recovery, depending on their specifics.

A more balanced market, but challenges persist

While buyers and sellers will likely see a more balanced market in 2025, local market conditions must be considered. Buyers should expect a less competitive housing market than in past years, but high home prices and elevated mortgage rates will continue to be significant hurdles. Affordability will still be a challenge.

Realtor.com data highlights how sensitive the market is to mortgage rate changes. When rates dipped to 6.08% in September 2024, new listings rose by 11.6%, followed by a 9.9% increase in home sales in October. This suggests pent-up, rate-sensitive demand among buyers, reports Realtor.com.

While growing inventory and easing rates benefit buyers, strong demand will likely keep sellers in a favorable position, especially in sought-after areas. However, if income growth is slower than expected, it will dampen buyers’ ability to afford homes, which could result in longer selling times or price reductions. The report advises sellers to price homes carefully and consider offering incentives to attract buyers, especially in markets where affordability is an issue.

The local view

Colorado’s housing inventory improved in 2024, returning to pre-pandemic levels in the fall. Realtor.com called Boulder County a balanced market in October 2024, with about the same supply and demand of homes. In November, the area’s inventory of 677 single-family homes reflected a 1.8% increase over Nov. 2023, according to statistics from Colorado Association of Realtors. Condos and townhomes inventory jumped 31% compared to November last year, with 393 units for sale. Sales of single-family homes across Boulder County increased by more than 13% from last year and more than 12.5% year-to-date.

2025 national housing market trends to watch

Modest rebound in home sales – The 2025 forecast shows a 1.5% increase in overall home sales, reaching 4.07 million transactions for the year. With mortgage rates easing, the summer home-buying months could be busier than last year.

Significant increases in new home sales and new home starts – New home sales and single-family housing starts are expected to outperform in 2025 while existing home sales remain unchanged. Single-family starts are expected to total 1.1 million in 2025, a 13.8% growth over 2024.

Stable rent prices – Rent prices will remain nearly flat, with a slight year-over-year decrease of 0.1%. Construction trends indicate growth in rental units across all regions, but the large renter population will prevent the increased inventory from significantly impacting rental prices. Recent construction trends suggest that rental units will rise by 1.5% in the South, 1.2% in the West, 0.9% in the Midwest and 0.7% in the Northeast.

Advice for buyers and sellers

“While more inventory means buyers will likely have more time to make purchase decisions in 2025, in any market, a fast-acting buyer will have a higher likelihood of making the winning offer,” said Hale.

To prepare for the year ahead, buyers should focus on securing financing and thoroughly researching the market. Sellers should pay attention to local market conditions and price their homes competitively.

Realtor.com’s model-based forecast uses data on the housing market and overall economy to estimate values for these variables for the year ahead. For more details, visit the complete 2025 Realtor.com Housing Forecast: realtor.com/research/2025-national-housing-forecast.

Jay Kalinski is the broker/owner of RE/MAX Elevate and owner of RE/MAX of Boulder. He is also an experienced Realtor, lawyer and veteran of the U.S. Air Force. He focuses on both residential and commercial real estate and is experienced with real estate development and investment. Jay lives in Boulder and is a zealous advocate for his clients as well as an avid triathlete, runner, reader and supporter of Veterans’ causes.

Stay up to date with area Real Estate and Home & Garden news information with the latest e-edition version of atHome Colorado online

This article is brought to you by atHome Colorado, your weekly insight into real estate, design, and community trends, published weekly by the advertising and marketing department in the Boulder Daily Camera, Loveland Reporter-Herald, Greeley Tribune, and Longmont Times-Call

Read More Details
Finally We wish PressBee provided you with enough information of ( Home Hunting in 2025: Buyers and sellers can expect improvement )

Also on site :

• Boxing Hall of Fame legend Mike McCallum passes away aged 68 as tributes pour in
• Piastri proud of 'perfect' Spanish GP weekend: 'Can't ask for more'
• Multiple people injured in attack on Boulder’s Pearl Street Mall, police say