Why the Housing Market Is Healthier in 2025 Than Headlines Suggest

Despite the Noise, Inventory Growth and Steady Sales Are Bright Spots

At ReadySetLoan, we believe in looking beyond the headlines—and 2025’s housing market deserves a closer look. After years of turbulence, the current landscape is showing strong signs of stabilization and health, offering buyers and sellers a much more balanced environment.

Many news stories still warn of crashing demand, but the data tells a different story. As ReadySetLoan highlights, home inventory is rising steadily, price growth is cooling (in a good way), and home sales are holding firm, despite mortgage rates that remain above 6%.

Existing Home Sales: A Positive Trend Emerging

Throughout 2025, monthly existing home sales have consistently remained above 4 million—a clear sign that the market has found its footing after the historic crash of 2022. While mortgage rates have hovered between 6% and 6.64%, recent pending home sales data shows year-over-year growth for the first time in years.

At ReadySetLoan, we monitor this data closely. Our experts emphasize that weekly pending home sales are a much faster and fresher gauge of market health than older monthly reports. This real-time data continues to show resilience even as rates stay elevated.

Purchase Application Growth: Surprising Strength

Even more encouraging? Mortgage purchase application activity is growing year-over-year. This means more buyers are entering the market despite rate challenges. According to ReadySetLoan’s analysis, if mortgage rates dip closer to 6% and stay there, buyer momentum could build even further throughout the second half of 2025.

Housing Inventory: A Long-Awaited Rebound

One of the best indicators of a healthier market is inventory growth—and 2025 is finally delivering.Inventory levels are trending toward historical norms, offering buyers more choices and helping moderate home price increases.

ReadySetLoan had forecasted 2024 national price growth at 2.33%, and while 2025’s forecast of 1.77% may again undershoot actual performance, the direction is what's most important. Moderating price growth, rising wages, and normalizing inventory set a strong foundation for sustainable market growth.

Looking Ahead: Stability and Opportunity

Historically, home sales dip during periods of rising interest rates, but they eventually stabilize and rebound—a pattern dating back to post-WWII America.

ReadySetLoan emphasizes that resilience is built into the fabric of U.S. housing economics.Projections for 2025 suggest nearly 5 million home sales—solid numbers that reflect continued demand from growing households, dual-income buyers, and wage increases.

RSL Perspective

ReadySetLoan sees 2025 as a major turning point:

• Inventory is growing

• Price growth is sustainable

• Demand is stabilizing

  
  

If you’re thinking about buying your first home, moving up, or even just exploring your options, now’s the time to educate yourself on the shifting market dynamics.

ReadySetLoan is here to help you navigate with confidence. Visit ReadySetLoan today to access mortgage resources, expert insights, and personalized guidance to help you reach the finish line!

www.ReadySetLoan.com