if you’re Feeling whiplash from the last few years of roller-coaster rates, Take a breath—2025 looks different.
The big story is that more homes are actually sticking around long enough for a second showing, and rate swings have calmed just enough to let you plan instead of panic.
More choices on the shelf. Active inventory topped one million properties in May—up a hefty 31 percent year-over-year and the first time we’ve cleared that mark since 2019. That’s across the board, though it varies by region. Translation: you can tour three houses this weekend without racing through them like a reality-TV contestant. Better still, nearly one in five listings is already sporting a price cut, giving buyers real leverage for the first time in years.
Rates in the “manageable middle.” The average 30-year fixed mortgage is hovering around 6.7 percent, with experts expecting a 6-to-7 percent band for the rest of the year. That’s not a return to 2021’s record lows, but it’s far below the peaks many feared—and the steadiness makes budgeting (and timing a rate lock) a whole lot easier. BTW, 7% would have looked great in 1982 when the average 30-year was over 16%.
Prices cooling—without free-falling. National appreciation has slowed to roughly 2 percent, and the National Association of Realtors projects only a modest 3 percent bump for 2025. In fact, Redfin sees outright year-over-year declines emerging in a growing list of metros by late 2025. If you were scared off by double-digit jumps, this gentler trajectory may be your cue to re-enter the game.
What today’s numbers mean for you. More listings plus steadier rates equals bargaining power. Things like seller credits for closing costs, 2-1 buydowns, and pre-closing repairs are back on the table—especially for homes that have lingered past 30 days. And remember: even a 6-percent mortgage can look cheap five years from now if prices tick up and you’ve been building equity the whole time.
The difference-maker? Straight talk with your mortgage advisor. Many of the details that figure into a loan application don’t fit in an online calculator— things like seasonal income, near-term job moves, and renovation dreams. A good advisor can structure a loan that matches reality — your reality. That may mean a shorter term to outrun future rate hikes, or an adjustable product paired with a clear refinance strategy. A program like Ark’s Lifetime Guarantee can help. The right Advisor can help you weigh locking your rate now versus floating for that potential dip.
Action plan.
- Schedule a strategy chat before your first open house. The time to figure out what will be a reasonable monthly payment is before you house hunt.
- Get pre-approved so you’re ready to pounce when the right home appears. The best deals won’t wait for you to start working on financing from scratch.
- Discuss “Plan B” scenarios (job change? baby on the way?) so your financing won’t box you in.
Bottom line: 2025 isn’t a perfect market, but it is a market offering choice, wiggle room, and enough stability to make informed decisions. With candid, ongoing communication, your mortgage advisor can turn today’s mixed signals into your personal green light.
Ready to talk? Let’s look at the numbers and see if this is your year to own the front-door keys.