Real Estate Market Archive

We all know that real estate functions as a dependable long-term investment opportunity, but here’s the thing: industry leaders predict that we are approaching something even bigger.  Experts predict that we could be entering what they call a “real estate supercycle.”

A supercycle operates differently from traditional short-term market fluctuations; it emerges from fundamental long-term elements, which include housing market demand, economic transformations, and policy modifications that will drive real estate expansion over multiple years.

According to Chad Tredway, Head of Real Estate Americas at J.P. Morgan Asset Management, the current forces will lead to a prolonged real estate opportunity phase, which will begin after interest rates decrease.

What is a Real Estate Supercycle?

A supercycle describes an extended market expansion phase during which economic conditions and demand patterns push prices upward even when interest rates cause brief price drops. Tredway mentioned on Bloomberg The Close to share his market predictions.

“I would tell you we could be entering a supercycle for real estate just given the current policy, the facts that rates will come down at some point and the demand drivers that we see in the economy.”

But What About Interest Rates?

The housing market discussion has included interest rates as a primary topic for those who follow real estate developments. Many buyers, together with investors, choose to wait for interest rates to decrease before taking action and making their move.

Here’s the thing: the market will experience growth regardless of rate fluctuations because real estate demand remains strong to date. The strong market demand for logistics, industrial properties, and housing has led Tredway to explain that cash flow gains over time will create real estate as a durable, long-term investment opportunity. The drop in interest rates would provide additional benefits to investors, but honestly, it is just a bonus.

2025 is Poised for Home Price Growth

J.P. Morgan has already released their 2025 housing market outlook, which shows that home prices will increase by 3% this year. Home prices that seem costly now will appear affordable when viewed a couple of years from now and make future homebuyers think that the prices today is a steal.

The current housing market conditions show that waiting to buy will result in higher costs for potential homeowners. The market shows no signs of slowing down while maintaining solid fundamentals, regardless of interest rate changes. People who act now will have the most promising opportunity to enjoy future market appreciation.

What the Real Estate Supercycle Means for You

Real estate has always been a business for long-term thinkers. The data, demand, and economic outlook suggest that we could be entering a period of sustained growth, making now a great time to evaluate your options.

Key Takeaways:

• Real estate industry professionals believe that a supercycle may be emerging because of solid market demand and economic conditions.
• Real estate remains positive for the long term, even if interest rates rise more slowly than anticipated.
• The Housing, industrial, and logistics sectors are already showing strong investor confidence.
• Today’s opportunities risk being lost by those who choose to wait for the “perfect” moment.

While some hesitate, those who understand long-term market fundamentals are already positioning themselves for what’s next.

Top Tips for a Smooth and Stress-Free Home Sale

The spring housing market is here, and if you’re thinking about buying or selling, you’ve probably heard plenty of predictions, opinions, and advice. Some of it is useful. Some of it, not so much.
So, what’s the real story? Realtor.com’s Chief Economist, Danielle Hale, recently shared advice with her own neighbor about buying a home—advice that every buyer and seller needs to hear.

Here’s what you actually need to know about the 2025 spring market, based on data from Zillow and expert insights from Hale herself.

1. Timing the Market? That’s a Risky Game

Zillow’s latest research says that homes listed in late May sell for $5,600 more on average. That stat makes headlines every year, but here’s what most people miss:

• In 2022, March was the best month to sell.
• In 2023, it was June.
• In 2025? No one knows for sure, because mortgage rates, local demand, and inventory play a bigger role than the calendar.

Danielle Hale backed this up when giving advice to her neighbor:

“There are always reasons to be uncertain in the housing market. My advice…is to keep your eyes open and when you see the home that is a good fit to go for it.”

Trying to outsmart the housing market is like trying to predict the stock market—it rarely works.

2. Serious Buyers Are Always Looking

A common myth is that most buyers don’t start house hunting until late spring. In reality, serious buyers are already looking.

Mortgage rate volatility means that buyers are jumping in and out of the market all year long. They’re not waiting for May—they’re waiting for an opportunity.

The takeaway? If you’re selling, don’t assume waiting for May will bring better buyers. The right buyer could be searching for your home right now.

3. Mortgage Rates Matter More Than the Season – Even in the Spring Market 

This is the real wild card. If rates drop, buyers flood the market—no matter the time of year. If rates rise, demand cools off—even in a so-called “hot” market.

That’s why Hale told her neighbor to stop worrying about short-term fluctuations and instead focus on long-term plans. If you plan to stay in a home for at least five years, trying to time the market perfectly isn’t worth the stress.

For sellers, this means one thing: If buyers see an opportunity, they’ll jump—regardless of whether it’s May, March, or July. The question isn’t when you list; it’s how competitive you make your home even if you put your home for sale during the Spring Housing Market.

4. Local Insights Matter Most

One of the biggest mistakes buyers and sellers make is trusting national headlines instead of understanding their local market.

Zillow found that the best time to sell varies widely by city. In San Diego and Austin, the peak selling period starts as early as March. In Phoenix, sellers don’t hit peak pricing until November, and in Orlando, the “seasonal bump” is small—just 0.9%. 

Meanwhile, inventory is rising in some areas and staying tight in others. The Northeast is still short on homes. The South and West have more new construction, which means more options for buyers.

Danielle Hale summed it up perfectly: 

“You want to look at national numbers to understand the broader context, but what really matters is what’s happening in your market.”

So what’s happening in  San Diego? Here are some quick housing market stats:

• Down 17.2% year-over-year (Feb 2024 vs. Feb 2025) Up 0.87% year-over-year.
• For buyers, this means home prices are relatively stable, indicating balanced market conditions.
• For sellers, stable prices suggest pricing homes competitively is crucial to attract buyers.
• Days on Market: Homes sold, on average, in 31 days during February 2025.

Want a deeper dive into market stats for your neighborhood? Contact the McT Real Estate Group today, and we’ll compile the data for you. 

5. The Right Listing Strategy Can Make or Break Your Sale Price

A lot of sellers focus on when to list. But how you list is just as important—maybe more.

Zillow’s research found that:

• Homes listed on the MLS sell for 1.5% more than off-market listings.
• Homes with high-quality photos, 3D tours, and interactive floor plans sell for 2% more.
• Homes with in-demand features—like remodeled interiors, outdoor TVs, or bluestone patios—can command thousands more in offers.

That’s why sellers who maximize exposure and highlight the right features will get top dollar—no matter the month.

Final Thoughts on the 2025 Spring Housing Market

The biggest takeaway from both Zillow’s research and Hale’s advice is that you shouldn’t wait around for the “perfect” moment.

• For buyers: If you find a home that meets your needs and budget—and you plan to stay put for a while—go for it.
• For sellers: If you’re ready to sell, focus on strategy, not just timing.

The market doesn’t wait for anyone, and the best deals go to those who are prepared to act.

Fixer-Upper Homes in San Diego and Their Benefits

Looking at the housing market in 2025, it is quite common to wonder and, in fact, ask yourself how such changes may affect your future goals in real estate, especially if you are considering buying or selling a house in San Diego or anywhere else. To get the most accurate answers to these questions, one should turn to experts for the best real estate advice. They draw on their experience and knowledge, backed by numbers and facts, to provide clear, actionable advice for their clients.

Real estate market analysts are always on the go. They are monitoring the market movements regularly to help with real-time predictions and to assist you and other consumers further. As for 2025, there are two major variables that are likely to influence the market for residential real estate, and these two are mortgage interest rates as well as the prices of homes. Here is a quick breakdown of where these key factors currently are and what this might mean for you.

Will Mortgage Rates Drop This Year?

Many people hold high expectations for interest rates, hoping they’ll drop significantly to the low levels seen in the past. The real question, however, remains unanswered: how low will they actually go, and how quickly might they rise again? There is some good news on the horizon, which is the fact that the experts are predicting that the rates will fall somewhat in the housing market in 2025. Still, it is important to be careful with these forecasts and expectations because those 3-4% rates we had in the past are not likely to come back in the near future. Lawrence Yun, Chief Economist at the National Association of Realtors (NAR) mentioned:

 “Are we going to go back to 4%? Per my forecast, unfortunately, we will not. It’s more likely that we’ll go back to 6%.”

Other industry experts have also pointed out that the rates might be steady in the mid-to-low 6% region as the year unfolds. Forecasts rely on the current situation, but factors like inflation and overall economic trends can still influence the future direction of rates.

That being said, don’t expect home prices to remain constant, and avoid trying to predict the perfect time to buy or sell. Rather, pay attention to the general direction and try to go from there. Working with a trusted lender and a real estate agent in your area will allow you to be more up-to-date with the rate changes and further help you decide on how it will affect your financial plan in the long run. Even a one percent change in the interest rates can make a huge difference to your monthly payments on your mortgage, especially if you are buying a home in San Diego.

Will Home Prices Drop This Year?

The quick answer is no, they likely won’t. Mortgage rates are expected to decrease gradually, bringing some relief to the masses, while home prices continue to rise at a slower, more sustainable pace. On average, expert forecasts suggest home prices will rise about 3% in the coming year, with most predictions landing in the 3-4% range. This represents a return to a more sustainable growth rate compared to the rapid price spikes we’ve seen recently.

So, if you’re waiting for a dramatic price drop before buying in the housing market in 2025, it’s important to set realistic expectations. While a significant price cut isn’t on the horizon, the slower pace of growth is good news for buyers. It means you won’t face the steep increases of past years, and any home you purchase is still likely to appreciate in value over time. That’s a smart investment for your future.

You might be wondering why prices are still rising. The answer lies in the basic principles of supply and demand. Even with more homes for sale compared to a year ago, inventory remains too low to meet buyer demand. As Redfin puts it:

“Prices will rise at a pace similar to that of the second half of 2024 because we don’t expect there to be enough new inventory to meet demand.”

Of course, the housing market varies widely from one area to another. While most markets will see prices continue to rise, some areas might experience a plateau or even slight declines if inventory grows enough to balance out demand.

To understand what’s happening in your specific neighborhood, it’s essential to connect with a real estate professional. An experienced agent can provide insights into local trends and help you make informed decisions about buying or selling in today’s market.

The housing market in 2025 is poised to bring some exciting changes. With steady growth on the horizon, more inventory hitting the market, and a bit more breathing room for buyers, it’s looking like a year of opportunity. However, the real estate landscape is never without its twists and turns. Behind these optimistic forecasts and market predictions, there are a few key factors that could alter the course of the housing market in unexpected ways.

For instance, fluctuations in mortgage rates could either attract more buyers or create hesitation, depending on the direction they take. Additionally, federal policies aimed at increasing housing supply might make it easier for buyers to find their dream homes—or they could inadvertently create challenges for sellers or developers. San Diego, known for its desirable weather, vibrant neighborhoods, and competitive market, could feel the effects of these shifts uniquely, with its balance of high demand and limited inventory playing a pivotal role.

As we dive into expert predictions for the year ahead, we’ll also explore potential game-changers that could reshape the housing market. Whether you’re buying or selling in 2025, understanding these trends will help you stay ahead of the curve.

The Big Picture: What Experts Are Saying About the 2025 Market Predictions

Before exploring the potential curveballs, let’s take a closer look at the main market predictions for home prices, sales, inventory, and mortgage rates—key indicators shaping the housing market in 2025.

1. Home Prices: Modest Growth Expected

Experts predict steady but modest growth in home prices this year, with increases estimated between 2% and 5%. This marks a slowdown compared to the rapid spikes seen in recent years, offering some relief to buyers who’ve been struggling with affordability. At the same time, sellers can still look forward to equity gains, as home values continue to edge upward. While the slower pace may not feel like a windfall for sellers, it represents a more balanced market, giving buyers a fairer shot.

In San Diego, where housing demand remains robust due to its prime location, ideal weather, and thriving communities, these national trends will likely reflect nuanced local dynamics. Homebuyers and sellers in neighborhoods like North Park and South Park may find these modest increases create opportunities for both parties to achieve their real estate goals.

Are Home Sales Finally Making a Comeback?

For the first time in over three years, the housing market is seeing a shift: existing home sales have risen year-over-year, reaching a seasonally adjusted annual rate of 3.96 million this past October.

So, what’s the takeaway with Home Sales?

This uptick in sales could signal that the housing market is beginning to rebound, even though 2024 is projected to have the lowest total number of home sales on record. It’s a glimmer of hope for buyers and sellers alike after years of slowed activity in the real estate market.

Recent data from the National Association of Realtors (NAR) highlights three key trends shaping the current housing landscape:

• More homes are selling, and prices are climbing. This means homeowners are building equity as their property values continue to grow, which is a big win for those considering selling.
• Inventory is improving. Buyers in San Diego, and across the country, are starting to notice a little more breathing room with a greater selection of homes available to choose from.
• Demand is picking up again. Even with mortgage rates higher than they’ve been in the past, the increase in year-over-year sales shows that buyers are reentering the market.

For sellers in San Diego, where housing demand is consistently high, this translates to a prime opportunity to capitalize on rising home values. Whether you own a historic Craftsman in North Park, a trendy condo in South Park, or a family home in the metro neighborhoods, equity growth could make this the perfect time to sell.

For buyers, the expanding inventory means more options, especially in sought-after neighborhoods like North Park, South Park, and the surrounding metro areas. With competition softening slightly, it might finally be your chance to find that dream home—though keeping an eye on mortgage rates will be key.

In the sections below, we’ll unpack the data driving these trends, explain how price growth and inventory shifts are reshaping the market, and share actionable tips for both buyers and sellers.

1. More Homes Are Selling, and Prices Are Still Rising

Attention homeowners: the value of your property is likely to continue to grow. In October, the median existing-home price increased to $407,200, marking a 4% rise compared to last year. This achievement represents the 16th consecutive month of year-over-year price growth, underscoring a resilient housing market.

Here in San Diego, we’re experiencing similar positive trends. The median home price in October reached approximately $900,000, which is about a 5% increase year over year. This surge indicates that homeowners in our local market are seeing significant growth in their equity. For many, this means it’s an ideal time to consider selling and capitalize on the rising market values.

As Lawrence Yun, Chief Economist for the National Association of Realtors, aptly put it:

“The ongoing price gains mean increasing wealth for homeowners nationwide.”

His insight resonates strongly here in San Diego, where the housing demand remains robust. Looking ahead, Yun also expects home prices to continue their upward trajectory over the next two years. He predicts a 9% year-over-year increase in 2025 and a 13% increase in 2026. This forecast suggests that the trend of growing home values is likely to persist, offering even more opportunities for homeowners in our area.

For sellers in San Diego, this information is especially encouraging. With neighborhoods like North Park, South Park, and other metro areas in high demand, rising prices mean you could achieve a premium when listing your home. It’s a compelling reason to explore your options and perhaps make that move you’ve been considering.

In summary, the combination of increasing home sales and climbing prices presents a promising landscape for homeowners. Now might be the perfect time to take advantage of these favorable conditions in the San Diego real estate market.

Curious about what the housing market will look like in 2025? You’re not alone. The latest expert predictions point to some encouraging trends, particularly around two of the biggest factors affecting your real estate decisions: mortgage rates and home prices.

If you’re planning to buy or sell a home, these insights could have a big impact on your timing and strategy. Let’s dive into what the experts are forecasting for the upcoming year and how it might influence your next move in San Diego’s competitive market. Whether you’re considering settling in North Park, South Park, or any of the metro neighborhoods, staying informed on these market shifts will help you make smarter choices.

Mortgage Rates in 2025 Are Expected to Drop

Mortgage rates are a major factor when you’re considering buying or selling a home, and there’s good news on the horizon. Experts predict that after the sharp increases in recent years, rates will gradually ease throughout 2025.

While we won’t see rates drop in a straight line, the overall trend should move downward as the year progresses. There might be some fluctuations along the way, with rates responding to fresh economic data and inflation reports, but don’t let these short-term changes distract you. It’s the long-term trend that matters most for your decision-making process.

Lower mortgage rates translate to increased affordability. When rates come down, your monthly mortgage payment will decrease, allowing you more flexibility in what you can afford. This shift makes buying a home more accessible, which is a big win if you’re looking to enter the market in neighborhoods like North Park, South Park, or other popular  neighborhoods in San Diego.

However, as mortgage rates fall, more buyers are likely to jump back into the market.

Charlie Dougherty, Director and Senior Economist at Wells Fargo, highlights this by saying

“Lower financing costs will likely boost demand by pulling affordability-crunched buyers off of the sidelines.”

When that happens, competition for available homes will increase, and inventory could tighten.

So, what’s the takeaway? By understanding these shifts now, you can position yourself ahead of the crowd. Work with your real estate agent to stay informed on how mortgage rates are influencing buyer demand in your local market. Being prepared helps you navigate the competition and make smart decisions, whether you’re buying or selling.

Home Prices Are Projected to See Modest Growth

Mortgage rates are set to decline, but home prices will still rise, just at a much slower rate than we’ve seen recently. Experts predict home prices will increase by about 2.5% nationwide in 2025, a significant shift from the rapid, double-digit growth of past years. This steady rise makes it much easier for buyers to enter the market.

So, what’s driving the continued rise in prices? It all boils down to supply and demand. As more buyers re-enter the market due to falling mortgage rates, demand will rise. At the same time, sellers who were previously hesitant due to high rates are more likely to list their homes, increasing inventory. With more homes available, prices should rise at a more sustainable pace—creating a healthier balance for both buyers and sellers.

Local Market Conditions May Vary

While these national projections offer a general outlook, the housing market can vary greatly from one region to another. For instance, some areas might experience faster price growth, while others could see more gradual increases or even flat prices.

As Lance Lambert, Co-Founder of ResiClub, points out:

“Even if the average national home price forecast for 2025 is correct, it’s possible that some regional housing markets could see mild home price declines, while some markets could still see elevated appreciation. That has been, after all, the case this year.”

Even in markets where prices may flatten or dip slightly, the substantial appreciation of recent years means that homeowners are still in a strong position. That’s why it’s essential to consult with a local real estate expert who understands the trends in your specific area—whether you’re looking to buy or sell in neighborhoods like North Park, South Park, or other metro areas of San Diego. Local market knowledge is key to navigating the next steps with confidence and making informed decisions.

Bottom Line on What to Expect with Home Prices and Mortgage Rates in 2025

With mortgage rates expected to drop and home prices forecasted to grow at a steadier pace, 2025 is looking like a more favorable year for both buyers and sellers. Whether you’re planning to purchase your first home or sell your current property, these trends could present great opportunities.

If you have any questions about how these changes could affect your specific situation, reach out. Having a local expert like the McT Real Estate Group by your side will help you navigate the San Diego market with ease and take advantage of what’s coming next.

More Options With Lower Rates For Buyers In the Fall

If you’ve been curious about the current trends in property values, you’re not alone. With an overload of information circulating, it’s easy to feel overwhelmed and unsure about your next steps.

As a buyer, you might be worried about overpaying in today’s market. On the other hand, if you’re planning to sell, the fear of not reaching your desired price may be holding you back. To help you make informed decisions, here’s a clearer picture of what’s really going on with property values—whether you’re buying or selling, especially in the competitive San Diego real estate market.

Property Values Prices Are Slowing, But Not Dropping

Across the nation, property value growth is starting to slow down. This shift means that prices are still on the rise, but not at the breakneck speed we saw in recent years. In San Diego, this trend is similar, as the local housing market continues to see steady demand. The data, such as the Case-Shiller Index, shows how this change unfolded between 2023 and 2024.

However, it’s important to note this doesn’t mean property values are falling. Every indicator still points to positive growth. So, while you may hear discussions about a cooling market, what that actually means is that prices aren’t spiking as dramatically as they did during the housing surge a few years ago, especially in cities like San Diego. The market here remains competitive, with homes continuing to appreciate at a more moderate pace.

What’s Next for San Diego Home Prices? It’s All About Supply and Demand

Curious about where home prices are headed next? The future of prices hinges on supply and demand, and this dynamic can look different depending on your local market — especially here in San Diego.

On a national level, the number of homes for sale has been gradually increasing, but we’re still not seeing enough inventory to fully meet the current demand from buyers. This shortage is helping to keep upward pressure on prices, even as the growth in home price appreciation has started to slow. Danielle Hale, Chief Economist at Realtor.com, points out that the slight increase in available homes is bringing more balance to the market, saying:

“. . . today’s low but quickly improving for-sale inventory has ushered in more market balance than would otherwise be expected . . . This should help home prices maintain a slower pace of growth.” 

However, there’s another factor that could impact home prices moving forward. Experts predict that mortgage rates may continue to decline, which could encourage more buyers to jump back into the market. If buyer demand picks up again in places like San Diego, we may see home prices rise further and faster in the coming months.

With San Diego’s desirable location and steady influx of buyers, the balance between supply and demand will play a crucial role in shaping the housing market’s trajectory.

Why You Should Partner with a San Diego Real Estate Expert

While national real estate trends offer a broad perspective, the market is highly localized—especially in dynamic areas like San Diego. What’s happening with home prices in your neighborhood may differ significantly from national averages. Factors like local supply, demand, and neighborhood desirability all influence pricing uniquely. That’s why working with a real estate agent who truly understands the nuances of the San Diego market is essential.

A local expert not only provides the most up-to-date market data but also understands the specific trends that impact your neighborhood. Whether you’re looking to sell or buy, a San Diego-based agent will have the insights to guide you through competitively pricing your home or finding a property that matches your lifestyle and budget. Their guidance equips you to make well-informed decisions tailored to your area’s unique market conditions.

Bottom Line on San Diego Property Values

While home prices continue to rise, the pace has slowed compared to previous years. Whether you’re considering buying, selling, or just curious about your home’s current value, it’s essential to have a clear understanding of the market—especially in dynamic areas like San Diego. Let’s connect for personalized guidance tailored to your unique situation. Whether you need insight into the local real estate trends or help navigating your next move, the McT Real Estate Group is here to assist you every step of the way.

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