Real Estate Trends: What to Expect for the Rest of the Year

Now that summer has ended, you might be wondering: will the cooler weather bring cooler home prices? And what’s ahead as we move toward the end of the year?

Housing experts are already discussing the 2025 forecast, and here's what they're saying. First off, there’s a lot of information out there, which can be overwhelming for both buyers and sellers. But here's what we know for sure: affordability remains a challenge due to rising prices and mortgage rates. However, inventory has been low, keeping the competition tight among buyers.

Recently, though, we’ve seen a slight bump in inventory, with homes staying on the market a bit longer. Economically, inflation is still a factor nationwide, and the Fed is considering lowering interest rates, which could happen soon. That said, real estate trends depend heavily on where you are in the country. In many places, we’re starting to see home prices plateau rather than continue to rise, signaling a return to more stable, normalized market conditions.

We also have an election coming up soon, and understandably, buyers and sellers might be wondering how it will impact the housing market. The answer is quite simple—historically, elections do not typically alter the course of the housing market. Home sales may slow a bit during the month of November, but aside from that, it’s likely to be business as usual.

Looking ahead to 2025, CoreLogic forecasts a 3.4% year-over-year price growth, down from this year's 4.9%. Keep in mind, the last five years were the 'unicorn' years for real estate, so this adjustment is a natural part of the cycle. So, what does this mean for you? It's crucial to focus on local market conditions rather than national trends, as prices and inventory levels can vary significantly by region. Here on the Central Coast, our market remains strong and steady, with prices holding consistent.

If you have any questions about the current market or are considering buying or selling, my team and I are here to help. We can provide you with an in-depth analysis of inventory, pricing, and the latest changes, tailored to your needs. Check out our other videos for more insights, and don’t hesitate to reach out — we're here to guide you every step of the way.