Housing Supply and Sales Trends
Housing supply is forecasted to grow in 2025, marking the highest levels since December 2019. This gradual increase offers buyers more choices while maintaining moderate competition. Pending home sales are running 16% ahead of 2023’s pace, reflecting growing buyer activity despite elevated mortgage rates.
“An increase in housing supply represents a move toward a more balanced market, providing buyers with more options and helping sellers set realistic expectations,” shares John Coake, Senior Vice President at Realty Austin Compass.
Why Selling During the Winter Can Be a Smart Move
The winter season presents a unique opportunity for sellers. Motivated buyers, often driven by urgent life changes, are active and ready to act decisively. While the housing supply is slightly higher than in recent winters, overall levels remain seasonally low, giving sellers an edge in a less competitive market.
“The cooler months bring motivated buyers and fewer competing homes, creating a prime opportunity for sellers to maximize their market advantage,” explains Jennifer Korba, Senior Agent Success Manager at Realty Austin Compass.
Newly Built Homes: A Growing Opportunity
Newly built homes now account for nearly 29% of available inventory, offering buyers a solution to limited choices in the resale market. Builders are focusing on smaller, more affordable options, making new builds increasingly accessible. While navigating builder contracts requires attention, a knowledgeable real estate agent can simplify the process.
“The increase in newly constructed homes is giving buyers more options while builders prioritize affordability to meet market demand,” says Tom Thornton, Agent Success Manager at Realty Austin Compass.
Housing Demand Remains Resilient
Despite elevated mortgage rates, housing demand continues to show strength. Pending sales saw double-digit year-over-year growth last month compared to 2023 and 2022, driven by seasonal trends and motivated buyers. This momentum has carried into December, signaling a gradually strengthening market. Reports from the National Association of Realtors (NAR) and the Mortgage Bankers Association (MBA) also highlight sustained buyer activity, reinforcing the market’s resilience.
Your Next Move in 2025
As we head into 2025, the housing market is poised for a more predictable environment with stabilizing mortgage rates, steady price growth, and increasing inventory. For buyers, this means greater clarity and more opportunities to find the right home, especially as new construction expands and sellers adapt to changing market conditions. For sellers, the continued demand and low competition in certain areas present a chance to maximize returns.
Your Moves Inspire
At Realty Austin Compass, we’re closely monitoring the market to provide the most up-to-date insights and strategies. Your moves inspire us to help you navigate market trends, decode pricing dynamics, review contracts, and leverage negotiation skills to secure the best outcome for you. Connect with mesaas today to confidently navigate your next move.
