Is the Real Estate Market Ready for You?
It’s February 15th, 2025—the day after Valentine’s Day. The chocolates are 50% off and your social media feed is full of grand romantic gestures, and let’s be honest—many people are thinking about breaking up…with their landlords.
That’s right, 2025 might be the year you finally leave renting behind and commit to homeownership. Your question is:
Is the real estate market ready for you?
Mortgage Rates: Are They Ready to Settle Down? 💍
If mortgage rates were a date, last year they were wildly unpredictable.
But in 2025, they’re finally calming down after their 2023-2024 rollercoaster ride.
With the Federal Reserve making good on its promise to ease rates, we’re seeing lower borrowing costs than we have in years. While we’re not back to the 3% fairy tale of 2021, a mid to high 5% mortgage rate looks pretty attractive compared to last year.
What this means for you:
Lower monthly payments than you would’ve had in 2023
Increased affordability = more homes in your price range
More buyers are jumping back into the market
If you were waiting for a sign to leave your landlord, this might be it.
Rents Keep Rising: When Does It End? 💸
Breaking News: Your rent is still not going down.
The rental market in 2025 remains as aggressive as ever, with rent prices up 4-6% nationally compared to last year. Many landlords are still passing on higher property taxes and insurance costs to tenants.
Here’s the reality check: In many cities, you could own a home for less than what you pay in rent.
Example:
National median rent: $2,150/month
Mortgage on a $300k home at 6.25% interest? About $2,134/month (with taxes & insurance)
That’s right—you could pay less per month to own your home than to rent someone else’s.
Inventory: More Homes, But Don’t Expect a Flood 🌊
Good News: There are more homes on the market than last year. The lock-in effect (where homeowners refused to sell because they had ultra-low mortgage rates) is starting to ease.
Note that…
Demand is picking up again, especially with interest rates dropping.
Good homes in desirable areas are still moving fast.
Competition is real, but it’s no longer the frenzy of 2021.
The Strategy
Get pre-approved ASAP so you’re ready to move.
Consider new construction—builders are offering great incentives.
Be realistic about what you want vs. what you need in a home.
The Million-Dollar Question: Should You Buy in 2025?
There’s no one-size-fits-all answer however, if you plan to do these things, then you are ready for your best real estate relationship:
Plan to stay in one place for at least 5 years.
Can afford the monthly payment + maintenance costs.
Want to build wealth instead of paying someone else’s mortgage.
Final Thought: Real Estate is Like Dating—The Right Timing Matters
The best move? Stay informed, have a plan, and work with a Realtor® as they guide you through the process.