Among the predictions: Sales in 2025 will outpace home sales during 2024
Dec. 4, 2024
Lightfield Studios / stock.adobe.com
The median U.S. home-sale price is expected to rise by some 4% in 2025.
In 2025, the housing market will likely continue to see affordability challenges persist, but that won’t stop homebuying demand, according to Redfin. Economists with the real estate marketing platform predict that buyers in the new year will continue to be faced with high home prices and mortgage rates near 7%. This will cause many households to look for more affordable rental options. However, at the same time, pent-up demand from prospective buyers throughout 2024 will drive home sales in 2025.
We expect existing home sales to tick up next year, ending 2025 at an annualized rate of between 4.1 million and 4.4 million. That represents a year-over-year increase of between 2% and 9%. We’re presenting an unusually wide sales range this year because while high housing costs may price out some would-be buyers, there’s also a fair amount of pent-up demand in the market.Read more
