4 Things To Expect from the Spring Housing Market

4 Things To Expect from the Spring Housing Market

Spring is in full bloom, and the housing market is gaining momentum. If you're debating whether now is the right time to buy or sell, here’s why this season could be your opportunity.

1. More Homes Are Available

After a period of limited inventory, the number of homes for sale is finally increasing. Recent national data from Realtor.com shows active listings are up 27.5% compared to this time last year.

Looking at the 2025 trend, even though inventory hasn’t fully returned to pre-pandemic levels, it’s higher than in recent spring markets over the past few years.

Buyers: More options mean you can be selective and find the right home.

Sellers: With inventory still below normal levels, demand for your home remains strong. Plus, you'll have better chances of finding your next home when you move.

2. Home Prices Are Stabilizing

As inventory increases, home price growth is beginning to slow, a trend expected to continue this spring. Since prices are influenced by supply and demand, more available homes mean buyers have more choices, reducing competition for each property. This shift helps moderate price growth, though most markets should still see steady appreciation. As Freddie Mac explains:

“In 2025, we expect the pace of house price appreciation to moderate from the levels seen in 2024, while still maintaining a positive trajectory.”

And while prices aren’t dropping nationwide, local markets vary. Some areas are experiencing stronger price growth, while others are stabilizing or even seeing slight declines.

Buyers: The slower pace of appreciation means prices aren’t climbing as fast, which is a welcome change. Any home you purchase now is still likely to gain value over time, helping you build equity.

Sellers: While prices are still increasing, setting the right price is crucial. Overpricing in a more balanced market could lead to a longer time on the market. A competitive price will attract more buyers and offers.

3. Mortgage Rates Are Steadying

One of the biggest challenges for buyers in recent years has been high and unpredictable mortgage rates. But there’s good news—rates have stabilized in recent weeks and even dipped slightly since the start of the year. While the decline hasn’t been drastic, steadier rates make homebuying more predictable. As Selma Hepp, Chief Economist at CoreLogic, explains:

“With the spring homebuying season upon us, the recent improvements in mortgage rates may help invite homebuyers back into the market.”

Buyers: When mortgage rates are more stable, planning ahead becomes easier since you’ll have a clearer picture of your monthly payments. However, since rates can still fluctuate, staying in touch with your agent and lender will help you understand how any changes impact your budget.

Sellers: Lower and steadier mortgage rates are motivating more buyers to move forward with their home searches. This increased demand could work in your favor when selling your house.

4. More Buyers Are Coming Back

With rising inventory, slower price growth, and steadier mortgage rates, buyers are regaining confidence and returning to the market. Demand is increasing, and recent data from the Mortgage Bankers Association (MBA) shows a rise in mortgage applications compared to the beginning of the year.

Buyers: Making a move sooner rather than later could be beneficial before competition increases further.

Sellers: More buyers in the market improve your chances of selling your home quickly.

Bottom Line

Curious about how the spring market affects your plans? Let’s connect and create a strategy that works for you.

With increased inventory, moderated price growth, and steadier mortgage rates, how will this influence your decision to buy or sell this season?