As we step into summer 2025, the real estate market is showing signs of both stability and transformation. Whether you’re thinking about listing your home, buying for the first time, or simply keeping a pulse on the industry, here’s what’s happening and what it means for you.
Mortgage Rates Are Leveling Off—For Now
After several years of interest rate hikes, we’re finally seeing some consistency. While rates aren’t expected to drop significantly in the immediate future, the Federal Reserve’s decision to hold steady this quarter has brought a bit of breathing room to the market. Buyers are adjusting their expectations and getting creative with financing, including buying down rates or working with lenders who offer more flexible terms.
Inventory Is Increasing… Slowly
Compared to the same time last year, inventory is creeping upward—but it’s still not where we’d like it to be. Many would-be sellers are staying put, holding onto historically low interest rates. That said, new construction is helping fill some of the gap, especially in suburban and exurban areas. If you’re a buyer, be prepared for competition in well-priced, move-in-ready homes. If you’re a seller, know that buyers are still motivated, especially if your home is priced right and in good condition.
Buyers Are Prioritizing Lifestyle Over Square Footage
One of the more interesting trends this season is the shift in buyer preferences. More people are opting for homes that align with their lifestyle rather than just focusing on size. Think walkability, outdoor space, home office potential, and energy-efficient upgrades. Sellers, this is your cue to highlight lifestyle features in your listings—those little touches can make all the difference.
Looking Ahead
The rest of 2025 will likely continue to bring modest price appreciation and measured activity. The market is no longer red-hot, but it’s still very much alive. If you’re considering making a move, now is a great time to start having those strategic conversations.
Have questions about your neighborhood or what your home might be worth? I’d love to chat!