It's that time of year when all the major players begin to release their projections for 2025 and on average they are projecting a 2.6% rise in home appreciation and 4.47 million home sales. We got used to seeing huge jumps in home appreciation during the COVID years but that was an anomaly.
A shortage of home sales was the prime impediment to the 2024 housing market, which became all about the lack of supply. In fact just 2.5% of homes in the U.S. changed hands during the first eight months of 2024 and that's the lowest turnover rate in at least 30 years.
Some surveys are predicting a 5% bump in sales next year, but even that’s still below the usual numbers. Over the past 20 years, home sales have averaged around 5.15 million a year, with a high of 7 million back in 2005. The big issue in 2024 has been the lack of homes available, but HousingWire thinks active listings will go up by 13%. While predictions aren't always spot on, they do help set some realistic expectations.
One thing seems pretty clear though: there’s no sign of a housing crash or downturn in 2025.
HousingWire’s 2025 housing market forecast
👇💖 Check Out My Favorite Homes This Week 💖👇
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We recently took a trip up to San Francisco to see family and on the way back we took a walk through the Point Lobos Natural Reserve and almost had the place entirely to ourselves. I've never seen anything like it and if you ever find yourself in that neck of the woods, please go and enjoy feeling like you're at the edge of the world :)
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I hear about off-market properties all the time, so if you're looking for something and you just can't find it -- give me a call!
Hope to chat with you soon!