Part 1: Current State of the Housing Market; Overview for mid-February 2025

This 2-part overview for mid-February provides a snapshot of the current housing market.

I always focus first on inventory, since inventory usually tells the tale! I’m watching months-of-supply closely.

New Listings for Existing Homes Up Year-over-year in January

Here is a graph of new listing from Realtor.com’s January 2025 Monthly Housing Market Trends Report showing new listings were up 10.8% year-over-year in January. New listings are still well below pre-pandemic levels. From Realtor.com:

On the bright side, sellers increased their activity this January as newly listed homes were 10.8% above last year’s levels, an increase from December’s small rise of 0.9%. This puts new listing activity at its highest January level since 2021. While rates remain elevated, it is possible that we might be seeing that chiseling effect starting as sellers may grow tired of waiting for significant changes in rates. Further, while the lock-in effect remains a factor for many sellers, the strength of the effect is gradually waning.

Note the seasonality for new listings. December and January are seasonally the weakest months of the year for new listings, followed by February and November.

The key will be what happens in March!

Impact on Active Inventory

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