The New Year Brings More Inventory to the Market

Rhea-AI Summary

January 2025 housing market shows increased seller activity with newly listed homes growing 37.5% month-over-month and 10.8% year-over-year. The median listing price decreased 2.2% to $400,500 compared to January 2024. Active listings increased 24.6% compared to last year, marking the 15th straight month of inventory growth.

Notable market trends include: Sacramento (+31.7%), Phoenix (+27.3%), and Seattle (+24.7%) saw the highest increases in new listings. Price reductions increased to 15.6% of listings, up from 14.7% last year, with Florida markets showing significant price cuts. The South and West regions led inventory growth at 31.0% and 27.2% respectively, while Denver (+54.8%), Las Vegas (+49.4%), and Tucson (+45.0%) experienced the highest inventory increases.

Positive

• Newly listed homes increased 37.5% month-over-month and 10.8% year-over-year
• Active listings grew 24.6% compared to last year
• Inventory levels showing strong recovery in South (-10.0%) and West (-13.3%) regions compared to pre-pandemic levels

Negative

• Median listing price decreased 2.2% to $400,500 year-over-year
• Increased share of price reductions to 15.6% of listings
• Significant inventory gaps remain in Midwest (-43.6%) and Northeast (-58.1%) compared to pre-pandemic levels

• Newly listed homes increase 37.5% month-over-month
• Homes actively for sale increase 24.6% compared with last year
• Share of listings with price cuts grows 15.6% compared with the same time last year

SANTA CLARA, Calif., Jan. 30, 2025 /PRNewswire/ -- Despite recent increases in mortgage rates, January showed a promising change in seller activity as newly listed homes grew 37.5% month-over-month, according to the Realtor.com^® January Monthly Housing Report. Out of the top 50 metros, Sacramento (+31.7%), Phoenix (+27.3%), and Seattle (+24.7%) experienced the greatest bumps in newly listed homes this month compared with the same time last year.

"The shift in seller activity could mark a turning point in the high mortgage rate-induced standoff between buyers and sellers," said Danielle Hale, Chief Economist, Realtor.com^®.  "The uptick is likely due to some residual benefit from fall's lower mortgage rates, which could fade. But drivers such as the need for families to adapt to life changes and the easing of the lock-in effect, could bring more movement from sellers by year's end."

January 2025 Housing Metrics – National

Metric	Change over Jan. 2024	Change over Jan. 2019
Median listing price	-2.2% (to $400,500)	+38.4 %
Active listings	+25.3 %	-25.3 %
New listings	+10.8 %	-18.0 %
Median days on market	+5 days (to 73 days)	- 8 days
Share of active listings with price reductions	+0.9 percentage points (to 15.6%)	-0.4 percentage points
Median List Price Per Sq.Ft.	+1.2 %	+54.9 %

Sellers Warm Up to the Market a Little More
Newly listed homes were 10.8% above last year's levels, an increase from December's slight rise of 0.9%, which puts new listing activity at its highest January level since 2021 and shows sellers are increasingly warming up to the market.  A recent Realtor.com analysis showed the share of mortgage holders with a rate under 6% fell to 83%, down from 88% just one year ago. Per the 2025 Realtor.com^® Housing Forecast, that share is expected to decline to 75% by the end of the year.

Furthermore, annual inventory grew for the 15th straight month, with 24.6% more homes actively for sale on a typical day in January compared with the same time in 2024. When it comes to the most active markets, Denver (+54.8%), Las Vegas (+49.4%), and Tucson (+45.0%) experienced the highest increases in active listings year-over-year, while New York (+0.3%), Hartford, Conn. (+1.8%) and Milwaukee, Wis. (+5.0%) experienced the lowest growth in active listings year-over-year.

Price Cuts Increase 
In addition to an increase in listing activity, sellers are cutting prices. The share of listings with price cuts grew once again compared with last year. In fact, 15.6% of sellers cut prices in the month of January, up from 14.7% in January 2024. Interestingly, out of the top five markets with the highest share of price reduction, three markets are in Florida: Jacksonville (24.3%), Tampa (24.8%), Orlando (22.3%). In addition to the Florida markets, Phoenix, Ariz. (25.5%) and Portland, Ore. (22.1%) rounded out the top five markets with the highest share of price reductions.

The South and West Get Closer to Closing the Inventory Gap While the Midwest and Northeast struggle
While January saw each of the four regions continue to close the inventory gap, the South and West are leading the way by far. In the West, listings grew by 31.0% while the South experienced a 27.2% growth in listings. The Midwest (+16.8%) and Northeast (+7.8%) trailed behind, though still saw increases. Additionally, when comparing inventory levels to pre-pandemic (2017-2019) levels, the inventory gap is also the smallest in the South (-10.0%) and West (-13.3%), a huge difference between the Midwest, where inventory is still down by 43.6% relative to pre-pandemic levels, and an even larger gap of 58.1% in the Northeast.

A look specifically at the top 50 metros shows Denver (+54.8%), Las Vegas (+49.4%), and Tucson (+45.0%) experienced the highest bumps in inventory growth this January.

January 2025 Housing Overview of the 50 Largest Metros 

Metro Area	Median Listing Price	Median Listing Price YoY	Median Listing Price per Sq. Ft. YoY	Median Listing Price vs January 2019	Median Listing Price per Sq. Ft. vs January2019
Atlanta-Sandy Springs-Roswell, Ga.	$399,000	-2.7 %	-0.8 %	28.8 %	56.2 %
Austin-Round Rock-San Marcos, Texas	$494,667	-9.2 %	-5.2 %	41.9 %	54.5 %
Baltimore-Columbia-Towson, Md.	$349,900	6.8 %	1.4 %	17.0 %	27.1 %
Birmingham, Ala.	$284,925	0.7 %	0.2 %	25.6 %	36.3 %
Boston-Cambridge-Newton, Mass.-N.H.	$799,450	-1.3 %	1.4 %	49.7 %	69.0 %
Buffalo-Cheektowaga, N.Y.	$252,450	5.2 %	6.1 %	40.3 %	56.6 %
Charlotte-Concord-Gastonia, N.C.-S.C.	$420,000	5.0 %	1.7 %	29.2 %	63.1 %
Chicago-Naperville-Elgin, Ill.-Ind.	$343,498	-2.2 %	0.7 %	15.7 %	31.8 %
Cincinnati, Ohio-Ky.-Ind.	$319,450	-3.2 %	3.7 %	33.2 %	57.5 %
Cleveland, Ohio	$234,925	11.3 %	14.1 %	34.3 %	58.7 %
Columbus, Ohio	$340,725	-7.9 %	1.2 %	33.7 %	61.1 %
Dallas-Fort Worth-Arlington, Texas	$415,500	-3.6 %	-0.5 %	22.2 %	44.7 %
Denver-Aurora-Centennial, Colo.	$569,950	-5.0 %	-1.2 %	16.9 %	45.8 %
Detroit-Warren-Dearborn, Mich.	$239,950	4.5 %	3.8 %	9.7 %	28.3 %
Grand Rapids-Wyoming-Kentwood, Mich.	$374,500	-6.4 %	-2.2 %	38.8 %	52.3 %
Hartford-West Hartford-East Hartford, Conn.	$408,375	2.1 %	12.3 %	44.6 %	60.4 %
Houston-Pasadena-The Woodlands, Texas	$359,000	0.2 %	-0.7 %	17.1 %	38.4 %
Indianapolis-Carmel-Greenwood, Ind.	$300,000	-2.4 %	0.5 %	23.7 %	54.0 %
Jacksonville, Fla.	$385,000	-4.9 %	-2.8 %	29.6 %	52.1 %
Kansas City, Mo.-Kan.	$374,950	-10.3 %	-1.9 %	25.1 %	44.8 %
Las Vegas-Henderson-North Las Vegas, Nev.	$467,500	1.6 %	3.2 %	48.4 %	57.3 %
Los Angeles-Long Beach-Anaheim, Calif.	$1,089,500	-1.0 %	0.9 %	47.0 %	53.2 %
Louisville/Jefferson County, Ky.-Ind.	$305,950	-1.0 %	1.4 %	23.1 %	46.6 %
Memphis, Tenn.-Miss.-Ark.	$329,500	2.9 %	1.8 %	62.3 %	68.2 %
Miami-Fort Lauderdale-West Palm Beach, Fla.	$520,000	-7.9 %	-5.6 %	33.3 %	49.0 %
Milwaukee-Waukesha, Wis.	$362,500	6.0 %	8.0 %	45.2 %	53.9 %
Minneapolis-St. Paul-Bloomington, Minn.-Wis.	$425,000	0.0 %	-0.2 %	11.6 %	27.9 %
Nashville-Davidson-Murfreesboro-Franklin, Tenn.	$525,000	-6.2 %	-0.5 %	47.6 %	63.5 %
New York-Newark-Jersey City, N.Y.-N.J.	$750,000	0.1 %	0.0 %	37.6 %	81.1 %
Oklahoma City, Okla.	$312,368	-2.4 %	0.4 %	33.3 %	46.1 %
Orlando-Kissimmee-Sanford, Fla.	$419,900	-3.5 %	-2.3 %	40.0 %	54.8 %
Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md.	$352,000	4.4 %	5.0 %	40.9 %	61.0 %
Phoenix-Mesa-Chandler, Ariz.	$512,450	-4.2 %	0.0 %	47.3 %	60.2 %
Pittsburgh, Pa.	$229,700	-0.1 %	0.8 %	39.3 %	36.5 %
Portland-Vancouver-Hillsboro, Ore.-Wash.	$598,725	-0.8 %	0.1 %	26.4 %	40.6 %
Providence-Warwick, R.I.-Mass.	$521,175	3.2 %	8.3 %	48.9 %	54.1 %
Raleigh-Cary, N.C.	$440,000	-0.1 %	0.7 %	25.7 %	55.3 %
Richmond, Va.	$421,225	-4.9 %	2.5 %	35.9 %	61.3 %
Riverside-San Bernardino-Ontario, Calif.	$599,000	2.4 %	0.5 %	50.1 %	59.5 %
Sacramento-Roseville-Folsom, Calif.	$615,000	-2.4 %	-0.2 %	36.7 %	41.3 %
San Antonio-New Braunfels, Texas	$325,000	-3.2 %	-2.2 %	14.0 %	37.3 %
San Diego-Chula Vista-Carlsbad, Calif.	$950,000	-2.8 %	-0.7 %	44.1 %	64.9 %
San Francisco-Oakland-Fremont, Calif.	$882,000	-6.6 %	-5.7 %	6.0 %	18.3 %
San Jose-Sunnyvale-Santa Clara, Calif.	$1,268,000	-1.6 %	2.6 %	26.8 %	20.4 %
Seattle-Tacoma-Bellevue, Wash.	$725,813	-3.2 %	0.0 %	29.0 %	56.3 %
St. Louis, Mo.-Ill.	$274,950	-0.9 %	-1.6 %	37.8 %	30.9 %
Tampa-St. Petersburg-Clearwater, Fla.	$396,973	-5.4 %	-5.7 %	49.5 %	62.7 %
Tucson, Ariz.	$391,255	-1.9 %	-0.2 %	40.0 %	57.0 %
Virginia Beach-Chesapeake-Norfolk, Va.-N.C.	$389,450	2.8 %	5.5 %	41.6 %	54.0 %
Washington-Arlington-Alexandria, DC-Va.-Md.-W. Va.	$577,000	-2.9 %	0.9 %	31.5 %	59.5 %
Metro Area	Active Listing Count YoY	New Listing Count YoY	Median Days on Market	Median Days on Market Y-Y (Days)	Price- Reduced Share	Price- Reduced Share Y-Y (Percentage Points)
Atlanta-Sandy Springs-Roswell, Ga.	38.1 %	13.2 %	66	10	18.5 %	2.6 pp
Austin-Round Rock-San Marcos, Texas	16.4 %	14.3 %	82	5	19.8 %	-2.4 pp
Baltimore-Columbia-Towson, Md.	24.0 %	4.1 %	53	0	11.9 %	-0.3 pp
Birmingham, Ala.	17.6 %	-2.7 %	75	4	16.1 %	1.9 pp
Boston-Cambridge-Newton, Mass.-N.H.	7.5 %	13.8 %	56	3	11.2 %	2.3 pp
Buffalo-Cheektowaga, N.Y.	14.7 %	6.4 %	71	3	7.2 %	1.0 pp
Charlotte-Concord-Gastonia, N.C.-S.C.	38.0 %	9.1 %	67	8	19.0 %	2.0 pp
Chicago-Naperville-Elgin, Ill.-Ind.	8.4 %	13.2 %	57	2	11.1 %	1.7 pp
Cincinnati, Ohio-Ky.-Ind.	19.3 %	-8.5 %	61	7	13.5 %	-0.2 pp
Cleveland, Ohio	7.9 %	-5.3 %	65	6	15.2 %	0.4 pp
Columbus, Ohio	30.9 %	7.5 %	59	4	18.2 %	0.7 pp
Dallas-Fort Worth-Arlington, Texas	35.7 %	12.5 %	69	7	20.9 %	1.6 pp
Denver-Aurora-Centennial, Colo.	54.8 %	20.7 %	72	10	18.0 %	2.9 pp
Detroit-Warren-Dearborn, Mich.	10.9 %	1.1 %	57	7	11.9 %	1.1 pp
Grand Rapids-Wyoming-Kentwood, Mich.	31.9 %	19.7 %	65	5	13.8 %	4.8 pp
Hartford-West Hartford-East Hartford, Conn.	1.8 %	5.7 %	51	-1	7.3 %	0.6 pp
Houston-Pasadena-The Woodlands, Texas	25.9 %	5.9 %	62	3	16.6 %	1.1 pp
Indianapolis-Carmel-Greenwood, Ind.	17.3 %	5.2 %	68	2	19.0 %	1.0 pp
Jacksonville, Fla.	40.0 %	13.0 %	74	8	24.3 %	3.3 pp
Kansas City, Mo.-Kan.	11.0 %	-4.3 %	78	2	11.6 %	0.7 pp
Las Vegas-Henderson-North Las Vegas, Nev.	49.4 %	24.1 %	62	3	16.4 %	2.3 pp
Los Angeles-Long Beach-Anaheim, Calif.	32.9 %	19.3 %	64	8	8.5 %	0.3 pp
Louisville/Jefferson County, Ky.-Ind.	15.9 %	-1.5 %	59	6	16.9 %	1.3 pp
Memphis, Tenn.-Miss.-Ark.	23.1 %	17.5 %	77	5	18.1 %	-0.3 pp
Miami-Fort Lauderdale-West Palm Beach, Fla.	40.8 %	4.1 %	79	11	18.8 %	0.7 pp
Milwaukee-Waukesha, Wis.	5.0 %	14.0 %	51	5	12.0 %	1.9 pp
Minneapolis-St. Paul-Bloomington, Minn.-Wis.	8.8 %	4.3 %	59	2	10.6 %	1.5 pp
Nashville-Davidson-Murfreesboro-Franklin, Tenn.	23.1 %	13.6 %	65	19	14.1 %	-0.8 pp
New York-Newark-Jersey City, N.Y.-N.J.	0.3 %	5.1 %	77	-3	5.8 %	-1.1 pp
Oklahoma City, Okla.	27.8 %	17.7 %	61	2	17.3 %	-2.2 pp
Orlando-Kissimmee-Sanford, Fla.	39.4 %	14.7 %	81	15	22.3 %	2.1 pp
Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md.	11.5 %	5.0 %	63	-3	12.3 %	0.7 pp
Phoenix-Mesa-Chandler, Ariz.	38.6 %	27.3 %	67	7	25.5 %	2.5 pp
Pittsburgh, Pa.	13.9 %	-1.7 %	84	5	13.1 %	-2.1 pp
Portland-Vancouver-Hillsboro, Ore.-Wash.	20.1 %	17.3 %	82	11	22.1 %	10.5 pp
Providence-Warwick, R.I.-Mass.	11.1 %	12.6 %	52	-3	13.3 %	5.4 pp
Raleigh-Cary, N.C.	32.2 %	10.1 %	71	9	14.7 %	3.1 pp
Richmond, Va.	13.4 %	-4.6 %	56	-5	11.8 %	3.4 pp
Riverside-San Bernardino-Ontario, Calif.	39.1 %	14.2 %	71	7	14.1 %	1.7 pp
Sacramento-Roseville-Folsom, Calif.	33.9 %	31.7 %	61	6	13.5 %	2.1 pp
San Antonio-New Braunfels, Texas	15.5 %	-2.5 %	78	3	20.9 %	-0.7 pp
San Diego-Chula Vista-Carlsbad, Calif.	44.5 %	15.9 %	51	8	12.7 %	2.7 pp
San Francisco-Oakland-Fremont, Calif.	23.9 %	21.3 %	56	7	8.1 %	1.1 pp
San Jose-Sunnyvale-Santa Clara, Calif.	19.4 %	20.6 %	44	2	6.0 %	0.8 pp
Seattle-Tacoma-Bellevue, Wash.	31.5 %	24.7 %	62	3	11.8 %	3.9 pp
St. Louis, Mo.-Ill.	10.0 %	2.3 %	62	3	12.3 %	-1.1 pp
Tampa-St. Petersburg-Clearwater, Fla.	27.4 %	11.8 %	70	6	24.8 %	-0.2 pp
Tucson, Ariz.	45.0 %	22.9 %	64	10	18.4 %	-0.7 pp
Virginia Beach-Chesapeake-Norfolk, Va.-N.C.	22.2 %	6.9 %	52	3	17.1 %	2.5 pp
Washington-Arlington-Alexandria, DC-Va.-Md.-W. Va.	35.9 %	8.9 %	52	-1	9.1 %	-0.1 pp

Methodology
Realtor.com housing data as of January 2025. Listings include the active inventory of existing single-family homes and condos/townhomes/row homes/co-ops for the given level of geography on Realtor.com; new construction is excluded unless listed via an MLS that provides listing data to Realtor.com. Realtor.com data history goes back to July 2016. The 50 largest U.S. metropolitan areas as defined by the Office of Management and Budget (OMB-202301) and Claritas 2025 estimates of household counts. With the release of its January 2025 housing trends report, Realtor.com® has restated data points for some previous months. As a result of these changes, some of the data released since January 2025 will not be directly comparable with previous data releases (files downloaded before January 2025) and Realtor.com® economics research reports.

About Realtor.com^®
Realtor.com^® is an open real estate marketplace built for everyone. Realtor.com^® pioneered the world of digital real estate more than 25 years ago. Today, through its website and mobile apps, Realtor.com^® is a trusted guide for consumers, empowering more people to find their way home by breaking down barriers, helping them make the right connections, and creating confidence through expert insights and guidance. For professionals, Realtor.com^® is a trusted partner for business growth, offering consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com^® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. For more information, visit Realtor.com^®.

Media contact: Asees Singh, press@realtor.com

View original content:https://www.prnewswire.com/news-releases/the-new-year-brings-more-inventory-to-the-market-302363699.html

SOURCE Realtor.com

FAQ

What was the median home listing price in January 2025?

The median home listing price in January 2025 was $400,500, representing a 2.2% decrease compared to January 2024.

Which cities saw the highest inventory growth in January 2025?

Denver (+54.8%), Las Vegas (+49.4%), and Tucson (+45.0%) experienced the highest inventory growth in January 2025.

What percentage of homes had price reductions in January 2025?

15.6% of listed homes had price reductions in January 2025, up from 14.7% in January 2024.

Which regions showed the strongest inventory recovery compared to pre-pandemic levels?

The South (-10.0%) and West (-13.3%) regions showed the strongest inventory recovery compared to pre-pandemic levels.

How much did new listings increase month-over-month in January 2025?

New listings increased by 37.5% month-over-month in January 2025.