"FindAgent February Market Pulse: A Deep Dive into the 2025 US Housing Market and Insider Secrets"
"A detailed breakdown of the unpredictable US housing market in early 2025, featuring NAR insights and expert commentary from Barbara Corcoran."
In this deep dive, we explore the unpredictable US housing market of early 2025, providing insider knowledge for potential buyers, sellers, and anyone curious about the broader economy.
We analyze the National Association of Realtors (NAR) residential real estate market snapshot report alongside insights from real estate legend Barbara Corcoran.
We break down the surprising trend of existing home sales and the pending home sales index rising, even as interest rates continue to climb. This analysis looks at the “economic orchestra” of GDP growth (3.4% in late 2023) and inflation (3.2% in February 2024) that drives demand. We also discuss current mortgage rates (6.8% average in February 2024) and the expectations around potential Fed rate cuts.
We examine the ongoing volatility in housing inventory. Drawing on Corcoran’s wisdom, we explore how steady interest rates may restrict supply, and dive into the critical rent vs. buy question—highlighting the striking contrast between a 54% increase in home prices versus an 18% increase in rents over five years.
This episode also sheds light on the growing financial burden of rising insurance costs, with some companies requesting rate increases of up to 25% due to risks like wildfires.
Finally, we equip listeners with a strategic “market backpack”—a set of essentials to help navigate this challenging environment. From being honest about your finances to setting goals, managing emotions, and building a trusted team of professionals, we help guide you toward your real estate summit.
Contents
• Economic Factors
- Why existing home sales are increasing despite rising interest rates
- The impact of GDP growth (3.4%)
- Current inflation figures (3.2% in Feb 2024)
- The Fed’s steady short-term interest rate (5.5% in Feb 2024)
• Mortgages and Supply
- Average mortgage rates (6.8% in Feb 2024)
- Expectations of future rate cuts
- Increase in housing starts and building permits (1.52 million in Feb 2024)
• Inventory and Pricing
- Significant increase in new listings (14.8% in Feb 2024)
- Low number of unsold listings (1.07 million in Feb 2024)
- Month’s supply of homes (3.5 months in Jan 2025) indicating a seller’s market
- Surge in median existing home prices
