2025 Real Estate Market Trends: What to Expect

Interest Rates: A Major Influence

Interest rates remain higher than pre-pandemic lows, impacting affordability. Rates may stabilize this year but will continue to affect budgets and negotiations.

For Buyers:

• Get pre-approved to understand your budget.

• Explore financing options like adjustable-rate mortgages.

For Sellers:

• Expect budget-conscious buyers to negotiate.

• Highlight energy-efficient features to attract interest.

Inventory: Moving Toward Balance

Inventory is gradually increasing as more homes hit the market, leading to a more balanced environment.

For Buyers:

• Take advantage of more options and shop around.

• Target homes on the market longer for better deals.

For Sellers:

• Price competitively to stand out.

• Make small updates to enhance appeal.

Shifts in Behavior

Buyers prioritize value, energy efficiency, and flexible spaces, while sellers focus on preparation and competitive pricing.

For Buyers:

• Focus on properties meeting long-term needs.

• Negotiate strategically as the market balances.

For Sellers:

• Stage and price your home to appeal to modern buyers.

• Respond to feedback and adjust quickly if needed.

Opportunities in 2025

Though challenges exist, opportunities abound for informed buyers and sellers. Partnering with an experienced real estate professional can make all the difference.

If you’re planning to buy or sell this year, let’s discuss your goals and create a winning strategy!