,

The nation's hottest housing market in 2025? It's Colorado Springs, new forecast says

,
 
 

Colorado Springs ranks as the nation's No. 1 housing market for 2025, thanks to hefty increases in home sales and prices, according to an annual forecast released Tuesday for the nation's 100 largest metro areas by Realtor.com, the California-based online real estate service.

The Springs' top spot results from a 27.1% expected jump in the number of home sales in 2025 compared to 2024, and a 12.7% year-over-year predicted appreciation in prices, Realtor.com says. Combined, those two percentage increases gave the city the No. 1 ranking in Realtor.com's forecast for next year.

Other metro areas that make up Realtor.com's top 10 housing markets for 2025 were: Miami-Fort Lauderdale-West Palm Beach, Fla.; Virginia Beach-Norfolk-Newport News, Va.-N.C.; El Paso, Texas; Richmond, Va.; Orlando-Kissimmee-Sanford, Fla.; McAllen-Edinburg-Mission, Texas; Phoenix-Mesa-Scottsdale, Ariz.;  Atlanta-Sandy Springs-Roswell, Ga.; and Greensboro-High Point, N.C.

Denver-Aurora-Lakewood, the only other Colorado metro area in the report, came in at No. 20 in Realtor.com's rankings.

While a No. 1 ranking in almost any national report is usually something that business people and civic leaders celebrate, some local real estate agents suggest Realtor.com's forecast for Colorado Springs is unrealistic.

For several years leading up to 2022, mortgage rates had fallen to 3% and below, which fueled a homebuying frenzy and sent housing prices skyrocketing in the Springs and elsewhere.

Beginning in spring 2022, however, mortgage rates began to rise and have since more than doubled. Last week, 30-year, fixed-rate mortgages averaged 6.69% nationally, according to mortgage buyer Freddie Mac.

Only a drop in long-term mortgage rates below 6% would stoke demand and send prices higher.

Through the first 11 months of this year, Colorado Springs-area home sales are running 3.1% below those of the same period in 2023, according to the Pikes Peak Association of Realtors' latest market trends report.

An ample supply of area homes for sales — 3,000 as of Monday — will hold down prices, one agent said. He was scheduled to show a home this week to a prospective buyer; the house has been on the market for six weeks and the sellers have reduced their asking price.  

"It's not like we're back down to all the houses are gone and everybody's bidding them up again," he said.

A series of job announcements over the last few years by Colorado Springs business leaders, meanwhile, is good news for the economy and local housing market, he said. And yet, the Springs' progress on the job front hasn't even surpassed that of Denver, and so it's hard to believe the local housing market will be tops in the nation next year.

Lawrence Yun, the chief economist for the National Association of Realtors, recently predicted that home sales nationally would rise by about 10% in 2025 and prices would increase by just 2%, Van Wieren said. But it's doubtful that Colorado Springs is going to significantly exceed those projections, he said.

"To be that far above the rest of the country, that looks from where I'm sitting, and I could just be sitting in the wrong chair right now ... I'm suspicious," Van Wieren said.

Realtor.com, however, is sticking with its forecast.

"While we don't have a history of commenting on others' opinions of our forecast, our models suggest that Colorado Springs is poised to be an overperformer in the housing market in 2025," Ralph McLaughlin, Realtor.com senior economist, said via email.

"This is due to not only a low benchmark in home sales and price growth set in 2024, but expectations of a growing tech sector that will benefit greatly from increased federal investment in microprocessors, aerospace, and computer systems design," McLaughlin said. "On top of this, Colorado Springs is experiencing growth in tourism-related investment and employment as it further cements itself as a hub for domestic outdoor recreation. These conditions support robust housing market growth in 2025 and beyond."

See more on The Gazette

Related Links

If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

Search Homes in Colorado

Search Homes in North Carolina

Search Homes in Oklahoma

, , , ,

What to watch for in 2025 housing market predictions

, , , ,
 

Housing is not cheap — whether you’re buying or renting. 

In October, the median sales price for a single-family home in the U.S. was $437,300, up from $426,800 a month prior, according to the latest data by the U.S. Census. 

Meanwhile, the median rent price in the U.S. was $1,619 in October, roughly flat or up 0.2% from a year ago and down 0.6% from a month prior, according to Redfin, an online real estate brokerage firm.

While it can be difficult to exactly pinpoint how the housing market is going to play out in 2025, several economists lay out predictions of what’s likely to happen next year in a new report by Redfin, an online real estate brokerage firm.

“If the housing market were going to crash, it would have already crashed by now,” said Daryl Fairweather, chief economist at Redfin. “The housing market has been so resilient to interest rates going up as high as they have.”

Here are five housing market predictions for 2025, according to Fairweather and other economists. 

Home price growth will return to pre-pandemic levels

The median asking price for a home in the U.S. will likely rise 4% over the course of 2025, a pace similar to that of the second half of this year, according to Redfin.

The 4% annual pace is a “normalization” compared to the accelerated growth last seen in 2020, said Fairweather. 

Earlier in 2024, the rate at which home prices grew slowed down to pre-pandemic levels. In other words, while prices were still rising, the speed of price growth was not as fast as it was in previous years. 

Despite predictions of growth slowing, there may still be some volatility in prices.

In fact, home price appreciation might stay flat, or less than 1%, going into the 2025 spring home buying season, said Selma Hepp, economist at CoreLogic.

But the possibility of President-elect Donald Trump enacting some of his economic policies could drive home prices much higher, said Jacob Channel, senior economist at LendingTree. 

“We kind of have some mixed signals right now in terms of what may or may not happen to home prices,” he said. 

General tariffs on foreign goods and materials as well as mass deportations could result in higher construction costs and slower home-building activity. If fewer homes are built in a supply-constrained market, prices might grow much higher, said Channel.

Flattening rents, with more room to negotiate

At a national level, the median asking rent price in the U.S. will likely stay flat over the course of a year in 2025, as new rental inventory becomes available, according to Redfin.

“If rents are flat, and people’s wages continue to grow, that means people have more money to spend,” Redfin’s Fairweather said, as well as increase their savings.

More than 21 million renter households are “cost-burdened,” meaning they spent more than 30% of their income on housing costs, according to 2023 U.S. Census data.

A stable rental market will also give renters more strength to negotiate with landlords. In some areas, property managers are already offering concessions like one month rent free, a free parking space or waiving fees, experts say.

However, “it’s December,” Channel said. “Rent prices typically decline in the colder months of the year,” as fewer people are apartment hunting in the late fall and winter seasons.

If would-be buyers continue to be priced out of the for-sale market next year through high home prices and mortgage rates, competition in the rental market may ensue, he said.

Also keep in mind that the typical rent price you see will depend on what’s going on in your local market, Hepp explained.

For instance: Austin, Texas was the “epicenter of multi-family construction,” she said, meaning a lot of new supply was added into the city’s rental market, bringing rental costs down. The metro area’s rent prices fell by 2.9% from a year ago, CoreLogic found.

In contrast, supply-constrained metropolitan areas like Seattle, Washington, D.C., and New York City, are experiencing high rent growth of 5% annually.

A ‘bumpy’ and ‘volatile’ year for mortgage rates

Redfin forecasts mortgage rates will average 6.8% in 2025, and hover around the low-6% range if the economy continues to slow.

Yet experts expect 2025 will be a “bumpy” and “volatile” year for mortgage rates.

Borrowing costs for home loans could spike if policies like tax cuts and tariffs are enacted, putting upward pressure on inflation.

“We’re sort of in uncharted territory. It’s really tough to say exactly what’s going to happen,” said LendingTree’s Channel.

Mortgage rates declined this fall in anticipation of the first interest rate cut since March 2020. But then borrowing costs jumped again in November as the bond market reacted to Donald Trump’s election win. Since then, mortgage rates have somewhat stabilized — for now.

“Our expectation is that rates are going to be in the 6% range as we move into 2025,” Jessica Lautz, deputy chief economist and vice president of research at the National Association of Realtors, recently told CNBC.

More home sales than in 2024

Pent-up demand from buyers and sellers on the sidelines may drive home transactions next year.

“People have waited long enough,” Fairweather said.

About 4 million homes are expected to be sold by the end of 2025, an annual increase between 2% and 9% from 2024, according to Redfin.

The market is piling on with “people who need to move on with their lives,” like buyers who are getting new jobs and need homes suitable for life changes, and sellers who have delayed moving plans, Fairweather said.

While more buyers are expected to hit the market next year, the level of competition may not be as aggressive as in recent years, when bidding wars were the norm.

Other affordability factors may come into play, like rising insurance costs and property taxes, in turn slowing down competition, said CoreLogic’s Hepp.

“We’ll definitely see more buyers out there,” she said. “But I don’t see the competition heating up to the levels that it has over the last few years.”

Climate risks will bake into homes prices

The risk of extreme weather and natural disasters may anchor down home prices or slow down price growth in areas like coastal Florida, California and parts of Texas, which are at high risk of hurricanes, wildfires or other disasters, Redfin expects.

If palatable price tags have you eyeing homes in a high-risk market, be aware of potential complications.

For instance, home insurance policies in some of these markets are harder to come by, and tend to carry high price tags. The financial impact of natural disasters may also be felt in rising home maintenance and repair costs, said Redfin’s Fairweather.

What’s more challenging, “every part of the country is vulnerable” because the weather patterns are changing, she said. “Lately, there have been these atmospheric rivers in California that have caused days of heavy flooding, and those homes aren’t built for that.”

While there’s a lot of focus on Florida for hurricane risks, the state is more prepared for this natural disaster, unlike areas like Asheville, North Carolina, a mountainous city battered by the hurricane Milton earlier this year.

“We will probably see insurance increase pretty broadly because that mismatch between what homes were built for and the climate that they are going to be facing in the coming years,” she said.

See more on NBC News

Related Links

If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

Search Homes in Colorado

Search Homes in North Carolina

Search Homes in Oklahoma

 
, , , ,

Why More Sellers Are Hiring Real Estate Agents

, , , ,
 
 

Putting your house for sale on your own – often called “For Sale by Owner” or FSBO – might be on your mind. But you should know that it gets complicated very quickly, especially in today’s complex market.

That’s why data from the National Association of Realtors (NAR) shows a record low number are going the route of selling on their own.

Instead, more and more homeowners are choosing to work with a real estate agent (see graph below):

 
 

And here’s why partnering with an expert is the go-to choice. Selling your home is a big deal, and while FSBO might seem like a way to save time or money, it comes with a lot of responsibilities.

The selling process requires setting the right price, navigating a growing amount of legal paperwork, and creating a solid strategy to attract buyers. And going it alone often means taking on more than you bargained for.

Let’s look at two big reasons why working with a pro can make all the difference.

1. Getting the Price Right

One of the biggest hurdles when selling a house on your own is figuring out the right price. It’s not as simple as picking a number that sounds good – you need to hit the bullseye. Price your home too high, and buyers may overlook your listing. Price it too low, and you could leave money on the table or even raise red flags about the condition of your home.

Real estate agents are experts in finding the right price for today’s market trends. As Zillow explains:

“Agents are pros when it comes to pricing properties and have their finger on the pulse of your local market. They understand current buying trends and can provide insight into how your home compares to others for sale nearby.”

With their knowledge of the local market, buyer behavior, and what homes like yours are selling for, an agent will help you make sure you set a price that’s competitive and that’ll draw in buyers. And it’s that perfectly strategic price that’ll set the stage for selling at top dollar.

2. Understanding and Managing the Paperwork

Another part of the process is dealing with a growing stack of paperwork, from disclosure forms to contracts. Each document needs to be completed accurately, and there are legal requirements to follow that can feel overwhelming if you’re not familiar with them.

This is another area where an agent’s expertise really shines. They’ve handled these documents countless times and know exactly what’s needed to keep everything on track. Your agent will guide you through the paperwork step by step, making sure it’s done right the first time and you understand what you’re signing. With their help, you can avoid unnecessary stress and mistakes that can lead to delays, legal complications, and more.

Bottom Line

Selling your house is a big decision, and having a trusted real estate agent on your side can make all the difference.

Connect with a local real estate agent so you have a pro to help with everything from pricing your home to managing the details. That way it takes the guesswork out of the process and helps you sell with confidence. 

Read more on Keeping Current Matters

Related Links

If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

Search Homes in Colorado

Search Homes in North Carolina

Search Homes in Oklahoma

, , , , ,

6 interior-design trends you'll probably see everywhere next year — and 4 that are disappearing

, , , , ,
 
 

As we approach the end of the year, it's time to reflect on home decor and designs we'll want to leave behind — and pieces and styles we'll want to keep an eye out for.

Business Insider spoke to three interior designers about which home trends they think will be in and out in 2025. Here's what they said.

One designer said the line between indoor and outdoor spaces will continue to blur.

Alice Moszczynski, an interior designer at Planner 5D, told BI we'll likely start to see more seamless connections between interior and outdoor spaces.

"This goes beyond just large glass doors as designers are integrating retractable walls, natural ventilation systems, and materials that age beautifully in indoor and outdoor environments," she said.

Natural and handmade materials continue to be popular.

Moszczynski predicts materials like stone, reclaimed wood, linen, and other natural materials that bring warmth, textural richness, and authenticity to a space will become even more popular in 2025.

As people prioritize having unique, personalized spaces, we'll likely see more consumers rejecting mass-produced finishes, too.

"Expect a resurgence of materials that show imperfections, like handmade tiles and unpolished marble," she told BI.

Art-deco styles are coming back to make spaces feel both vintage and fresh.

Lucinda Loya, founder and principal designer at Lucinda Loya Interiors, expects to see a resurgence of the art-deco style next year.

The style, which has roots in Europe and boomed throughout the 1920s and 1930s, is characterized by opulence and modern, geometric patterns.

"The updated trend blends the movement's iconic chevron patterns, zigzags, and sunburst motifs with opulent materials like marble, glass, and polished metal," Loya said.

She predicts we'll see neutrals like black, white, gold, and silver paired with luxe textures like velvet to create "vintage and fresh spaces."

Mirrored surfaces are also becoming trendy.

In line with the art-deco revival, Loya told BI, mirrored, reflective surfaces will also make a comeback to give spaces a touch of glamour.

"Mirrored surfaces reflect natural and artificial light, adding depth and brightness, which is especially valuable in smaller or darker spaces," she said.

Loya also said we'll see mirrored accents paired with matte textures to create elegant designs that balance drama and restraint.

Bold, saturated colors are in.

"More people are leaning into saturated colors — deep greens, dramatic blues, and spicy oranges and golds," Matthew Coates, owner of Coates Design Architects + Interiors, told BI.

Coates expects to see more rooms telling bold, colorful stories as homeowners search for a refreshing break from all-beige interiors.

He anticipates this trend will stick around for a while as more find comfort in creating spaces that reflect themselves.

Mixed metals will be the "it" look this season.

In previous years, mixed-metal finishes might have been considered mismatched. Now, Coates said, they're becoming a popular option for a versatile look.

"Mixing metals gives a room personality and dimension, and it feels more collected over time rather than overly coordinated," he said. "It's perfect for people who want their spaces to feel relaxed but still elevated."

On the other hand, faux biophilia is on its way out.

Biophilic design, which emphasizes connection with nature, has been a popular trend in recent years, but Moszczynski believes the days of faux plants are behind us.

"The trend of artificial plants and green walls to emulate biophilia is losing appeal as people realize these elements fail to deliver the wellness benefits of genuine nature," she said.

Instead, she said, we'll likely see more living plants throughout interior spaces.

The "millennial gray" trend is losing steam.

"Gray-dominated palettes have overstayed their welcome and feel cold, monotonous, and impersonal — particularly in high-end spaces," Moszczynski said.

She predicts that earthy tones like terracotta, clay, ochre, and sage will continue to replace "millennial" gray.

Maximalism with excessive clutter will likely fall out of favor as people prioritize minimalism.

The battle between maximalism and minimalism in the home continues, but Moszczynski predicts the pendulum will swing back toward a refined level of minimalism next year.

Maximalism was pretty big throughout 2024, but people may not be looking to buy a ton of items and decor in the year ahead.

"People are craving more visual calm and functional flow in their homes," she told BI. "Excessive decor often means unnecessary consumerism, which conflicts with the growing interest in sustainability."

We may start to see fewer open-concept spaces over the next couple of years.

Over the last few years, open floor plans have become less popular, and Coates predicts we homeowners will usher in a new chapter of balancing openness and privacy in 2025.

After all, closing off part of an open space can be really impactful.

"Adding a half-wall and a vintage room divider changed the whole vibe of a friend's open-concept living room, making it cozier and more intentional," Coates said.

Read more on Business Insider

Related Links

If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

Search Homes in Colorado

Search Homes in North Carolina

Search Homes in Oklahoma

,

Just Listed: Modern Comfort Meets Community Charm!

,
 
 
 

Welcome to your new home in Quail Run, a quiet, picturesque community.

This beautifully designed home boasts vaulted ceilings with southern exposure, allowing bright light to grace the entryway! The open-concept kitchen, dining, and living areas show off the modern and durable vinyl wood flooring. The updated kitchen features granite countertops, stainless steel appliances, ample counterspace, and a spacious pantry. On these chilly days, cozy up by the gas fireplace in the living room. This home has been thoughtfully updated, with two recently renovated modern bathrooms, two generously sized bedrooms, and large closets to meet all your storage needs. A large tree in the front yard adds shade and charm to your outdoor space with the convenience of one reserved parking spot and 3 guest parking spaces right outside your front door! Furry friends welcome here and can enjoy convenience and privacy in the fenced in backyard, which offers direct access to the HOA amenities, including a swimming pool, hot tub, clubhouse, fitness center, and tennis courts! Conveniently located near shopping and restaurants, Highland Hollow Park (and so many others), Buckley Space Force Base, Aurora Sports Park, and easy commute access to E-470 and I-70! Whether you’re enjoying the peaceful community or taking advantage of its affordability, amenities, and nearby conveniences, Quail Run is the perfect place to call home!

Listed by Janell Arant for West + Main Homes. Please contact Janell for current pricing + availability.

 
 
 

Have questions?
West + Main Homes
(303) 935-8787
hello@westandmain.com

Presented by:
Janell Arant
720-469-5332
janell@westandmainhomes.com


 
 
W+M_Logo (1).jpg
 
Cart (0)