By DENISE RANGAI, REALTOR®, Contributing Writer
As 2024 drew to a close, the real estate market offered a mixed bag of trends, reflecting both resilience and challenges. December’s data provided a clearer picture of where the market stands and what might lie ahead for buyers, sellers, and investors.
Home Sales and Prices The total number of home sales in December saw a slight decline compared to November, continuing a seasonal trend typical of the winter months. However, on a year-over-year basis, the market showed a rebound, with 5,679 homes sold in 2024 compared to 3,724 in December 2023.
Median home prices remained steady, while nationally, the median home price reached $385,000. Experts attribute this stability to a combination of factors, including steady demand and limited inventory.
Inventory Levels The housing inventory remained tight in December, with a decrease in active listings compared to November. On an annual basis, inventory levels were steady with an average absorption rate 5.23.
Mortgage Rates Mortgage rates showed some volatility in December but ended the month at an average of 6.6% for a 30-year fixed-rate loan, down slightly from November’s 6.7%. Despite this minor decline, rates remain significantly higher than the sub-3% rates seen in late 2020 and early 2021.
Looking Ahead As the calendar turns to 2025, industry experts are keeping a close eye on several key factors, including the Federal Reserve’s interest rate policies and broader economic conditions. While affordability remains a challenge for many, there is optimism that a slight cooling of mortgage rates could spur more activity in the spring.
For prospective buyers, the start of the year could present opportunities, particularly in markets where inventory levels improve. Sellers, meanwhile, may benefit from pricing strategically to attract motivated buyers in a competitive environment.
For more information or to schedule a free home value assessment, contact Denise Rangai at (985) 991-1344 or deniseondabayou@gmail.com.
