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

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

Inventory, inventory, inventory! Inventory usually tells the tale. Currently I’m watching months-of-supply closely.

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

Realtor.com reports in February 2025 Monthly Housing Market Trends Report that new listings were up 5.1% year-over-year in February. However, new listings are still well below pre-pandemic levels. From Realtor.com:

On the bright side, sellers increased their activity this February as newly listed homes were 5.1% above last year’s levels. However, this is a decrease from January’s rise of 10.8%. This puts new listing activity at its highest February level since 2021. While rates remain elevated, we might be seeing that chiseling effect starting as sellers may grow tired of waiting for significant changes in rates.

And active listings were up 27.5% year-over-year.

There were 27.5% more homes actively for sale on a typical day in February compared with the same time in 2024, marking the 16th consecutive month of annual inventory growth. This is an increase from January, which was up only 24.6% year over year. However, while inventory this February continues to improve, it is still down 22.9% compared with typical 2017 to 2019 levels.

Note the seasonality for active listings. The next few months will be the key for inventory.

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