Key takeaways
- Would-be homebuyers continue to be discouraged by elevated mortgage rates and ever-rising home prices
- In addition, while housing inventory has grown, it’s still below what’s needed for a balanced market.
- While all three issues show signs of improving in the coming months, experts still expect 2025 to be a challenging year for the U.S. housing market.
The housing market in 2025 might have a more favorable outlook than much of 2024 had, especially if mortgage rates and inventory levels improve. There’s still uncertainty in the air, though: Rising prices and slowing construction could cause some trouble for buyers in 2025, and the impact of the new presidential administration remains a wild card.
Home prices, mortgage rates, inventory levels and more will all shape housing affordability in the coming year. Curious where these trends may go? Read on to learn what the experts predict for the 2025 housing market.
What will happen to the housing market in 2025?
After dipping as low as 6.2 percent in…
