A Brighter Outlook for Homebuyers: More Homes on the Market in 2025

The past few years have presented significant challenges for prospective homebuyers, with rising home prices and mortgage rates making the search for an affordable home feel daunting. However, there’s some good news—there are more homes on the market now than in recent years. Whether you're looking for an existing home or considering new construction, the growing inventory offers fresh opportunities for buyers. Let’s explore these positive trends and how they can benefit you.

Expanding Inventory of Existing Homes

According to data from Realtor.com, the number of existing homes available for sale increased by 22% in 2024. Even better, experts predict that inventory will continue to rise, with estimates suggesting an additional 11-15% growth by the end of this year.

Why does this matter? A larger selection means you’re more likely to find a home that meets your needs. If you’ve struggled to locate a property with the right features, the increasing supply should provide more options, improving your chances of securing your ideal home. As Ralph McLaughlin, Senior Economist at Realtor.com, points out:

“It could be a particularly good time to get out into the market . . . you’re going to have more choice. And that’s not something that buyers have really had much over the past several years.”

More Newly Built Homes Available

In addition to the rise in existing homes, newly built properties are becoming a more viable option for buyers. Data from the Census Bureau and the National Association of Realtors (NAR) indicates that newly constructed homes now make up 31.1% of the total housing inventory—approximately one in three homes on the market.

This increase isn’t due to excessive building but rather a response to years of under-construction. Builders are also focusing on smaller, more affordable homes, which could make new construction a surprisingly budget-friendly choice. As CNET highlights:

“If you live in an area where there’s a lot of new construction happening . . . you might be able to purchase a new house for a price similar to or even less than a pre-owned one.”

If you haven’t considered new builds before, now might be the time. Many buyers assume new homes are significantly more expensive, but the price gap has narrowed, making them a strong contender in your search.

The Bottom Line

With more homes available, 2025 could be the year you finally find your dream home. Whether you’re looking at existing properties or considering new construction, increased inventory means more choices and better chances of finding a home within your budget.

To explore your options, reach out to a local real estate agent who can help you navigate the market and find the best fit for your needs.