February 2025 Market Update-Should you buy now or wait to try to get a lower price?

This time of year is typically quite active for the next month or so. By late March, we usually see more deals emerge, along with a pullback in inventory as some sellers who are on the fence decide to hold off. Right now, there’s still a good amount of inventory on the market, and until interest rates drop, prices are likely to remain stable. That said, there are still great opportunities to secure a strong deal, especially with motivated sellers who need to sell.

Do I expect a major market downturn or "fire sale"? Probably not. Many homeowners in this market are well-qualified, second-home buyers, or own multiple properties. A significant percentage of past transactions have been all cash (at one point, around 65%), and many sellers don’t necessarily need to sell—they may just be looking to shift investments or make life changes. This means better deals are more likely at lower price points, while higher-end homes tend to have less leverage and more cash invested.

What This Means for You

• More options & great pricing right now – There’s solid inventory on the market, which increases buyer leverage.
• Fewer new listings ahead – As the season winds down, I expect fewer homes to hit the market. Many unsold homes will be pulled off, and any price drops will likely be on existing inventory rather than fresh listings.
• Mortgage rates & future demand – Rates have ticked up, but once they start coming down—even slightly—we could see more buyers re-enter the market, leading to price tightening.

Here’s a great video on mortgages in our current market: [Insert Link]

Bottom Line

If you're looking for an amazing home at a great price, now is an excellent window of opportunity. While summer could still offer some good deals, shrinking inventory and potential rate drops may bring more competition back into the market.

Let me know if you have any questions—I’m always happy to help!