The Van Gundy Report: Real Estate Market Update January 2025
In this month’s Van Gundy Report, we dive into the latest trends shaping the real estate market—what’s happening now, what’s shifting, and what those changes mean for buyers and sellers headed into 2025.
Market Snapshot
Inventory Is Expanding
One of the most noticeable trends in January has been a boost in new listings. Sellers are more active, giving buyers more options. This uptick in inventory is helping balance a market that’s felt tight for many months.
Stable Prices, But Pressure Growing
While increased inventory might suggest a cooling market, median home prices remain remarkably steady. That said, as more homes come on the market, sellers may start feeling pressure to price more competitively or include concessions to stand out.
Longer Market Time
Homes are staying on the market a bit longer than we’ve seen in recent months. Buyers are becoming more deliberate, taking extra time to make decisions. For sellers, that means patience—and smart pricing—are key.
What This Means for Buyers
More leverage, but still competitive. You’ll see more options than before, which gives you a bit more room to negotiate. That said, strong offers—especially with favorable terms—will still win in many cases.
Don’t wait too long. While some properties may linger, the most desirable ones will still go quickly. Be ready to act when you find something that meets your criteria.
Know your financing. Competitive interest rates and pre-approvals will strengthen your offers in a shifting environment.
What This Means for Sellers
Price smart from day one. With more competition, overpricing is riskier than ever. A well-priced home attracts more interest and can create urgency among buyers.
Focus on presentation. Staging, curb appeal, and modern updates can make your property stand out in a sea of new listings.
Flexibility wins. In some cases, offering small perks (like covering closing costs or including appliances) can tip the scales in your favor.
What to Watch in 2025
Rate movements. Any shifts in mortgage interest rates will ripple through buyer demand and affordability.
Inventory trends. Will the influx of new listings sustain, slow, or accelerate? That’s a huge driver of how competitive the market stays.
Buyer behavior. As homebuyers become more selective, factors like walkability, school districts, energy efficiency, and adaptability will weigh heavily.
Final Thoughts
January 2025 shows a market in transition. The balance is slowly shifting—favoring neither buyers nor sellers exclusively—but opportunity remains for both sides. For buyers, it’s a chance to take advantage of added options and negotiate intelligently. For sellers, it’s a test of strategy, presentation, and flexibility.
If you’d like a deeper dive into your local market or want personalized guidance for buying or selling in 2025, I’d be glad to help.
