Spring Real Estate Market Forecast

Spring is officially here, and the housing market is heating up. If you’re considering buying or selling, here are a few reasons now may be a great time for you to make a move.

Inventory Levels and Home Prices
After a period of low inventory, the number of homes for sale is improving. According to Realtor.com, active listings are up 27.5% compared to this time last year. Although inventory hasn't returned to pre-pandemic levels, it’s higher than in recent spring markets, giving buyers more choices and sellers a better chance of finding their next home. The demand for homes remains strong, making it a good time to sell.

As inventory grows, the pace of home price growth is moderating. More homes on the market and less competition from buyers mean prices are rising more slowly. While price growth is expected to continue, it will be at a slower pace in 2025, according to Freddie Mac. Buyers will benefit from less rapid price increases, while sellers may need to price their homes more competitively to attract buyers.

Mortgage Rates
Mortgage rates, which have been volatile in recent years, have recently stabilized, offering some predictability for buyers. Although rates are still subject to fluctuation, the recent trend toward stability makes it easier for buyers to plan their purchases. For sellers, this stability is encouraging more buyers to reenter the market, boosting demand.

Buyer Activity
With rising inventory, slower price growth, and stabilizing mortgage rates, more buyers are returning to the market. Mortgage applications have increased per the Mortgage Bankers Association which is signaling growing confidence among buyers. Sellers can expect more competition, which could lead to quicker sales.

If you’re thinking about buying or selling this spring, now could be an ideal time. Reach out today to discuss your options and let’s make a plan.