Home Sales Finish the Year on a Stronger Note
Recent national housing data points to a noticeable pickup in activity as 2025 wrapped up. Sales of existing homes climbed at a faster pace than expected, reaching their strongest level in nearly three years once seasonal adjustments were factored in. That increase reflects a market that is slowly finding its footing after an extended period of hesitation.
These numbers are based on closed transactions, meaning many of the deals were negotiated earlier when mortgage rates had settled into the low sixes. While rates remain higher than what buyers were accustomed to a few years ago, they are meaningfully lower than last spring and summer, which helped bring more buyers back into the conversation.
According to data from the National Association of Realtors, overall sales for the year were essentially flat compared to the year prior, underscoring just how constrained the market has been. Even so, momentum improved toward the end of the year, with gains showing up across most regions and year-over-year growth returning in parts of the country.
Inventory remains the defining factor. The number of homes available for sale dipped sharply month over month, even though it was slightly higher than the same time last year. With stronger sales paired with limited new listings, supply tightened to just over three months nationally. That level of inventory keeps upward pressure on prices, even as the pace of appreciation slows.
Home prices reflected that balance. The national median edged higher on an annual basis, marking another consecutive month of price growth, though the increase was modest compared to prior months. This slower rate of appreciation is a key reason more buyers are re-engaging, especially those who have been waiting for a clearer signal that prices are no longer accelerating rapidly.
Looking ahead, more listings are expected to come to market as the year progresses. Many homeowners have been cautious about making a move, but improving conditions could encourage additional inventory in the months ahead, helping create more options and flexibility for buyers.
Whether you’re considering buying, selling, or making strategic upgrades to position your home ahead of increased activity, having a clear plan makes all the difference. If you want to talk through current conditions, evaluate opportunities, or prepare for what’s next, reach out anytime!