What to Expect in 2025: A Real Estate Forecast for Brevard County and Beyond

As 2025 approaches, understanding the real estate market’s direction is crucial for making informed decisions, whether you're planning to buy or sell a home in Brevard County. By keeping a close eye on expert projections, you can better navigate the market and make the best decisions for your homeownership goals.

Mortgage Rates in 2025: A Slight Dip Expected

Mortgage rates are always a hot topic in real estate, and they’re expected to slightly decrease in 2025. According to forecasts from the Mortgage Bankers Association (MBA), National Association of Realtors (NAR), Wells Fargo and Fannie Mae, a gradual reduction in mortgage rates is anticipated throughout the year.

This decrease is largely attributed to easing inflation and a modest rise in unemployment, signaling a slowing economy that could prompt the Federal Reserve to lower the Federal Funds Rate. Lower rates will make mortgages more affordable for buyers, potentially stimulating more activity in the market.

Increase in Home Sales: More Movement in the Market

With mortgage rates expected to dip slightly, both buyers and sellers who’ve been waiting on the sidelines might finally make a move in 2025. Experts from the MBA, NAR, and Fannie Mae project a modest increase in home sales, estimating around 5.4 million homes will be sold nationwide.

For comparison, about 4.8 million homes were sold in 2023, and projections for 2024 hover around 4.5 million. While we won’t see a massive surge, the uptick in activity could mean more opportunities for both buyers and sellers.

Home Prices: A Steady Climb

When it comes to home prices, expect moderate growth. With more buyers ready to enter the market, there will be upward pressure on prices, although this will vary by region.

On average, experts predict a 2.6% increase in home prices nationwide, with Brevard County likely following this trend. This steady rise is more aligned with historical norms, indicating a balanced market rather than the rapid price increases seen in recent years.

FAQs About the 2025 Real Estate Market

Q: Will mortgage rates continue to drop in 2025?
A: While mortgage rates are expected to decline slightly in 2025, the decrease will likely be gradual. This will depend on factors like inflation and the Federal Reserve's decisions on the Federal Funds Rate.

Q: Is 2025 a good year to buy or sell a home in Brevard County?
A: Yes, 2025 could be a favorable year for both buying and selling, especially if mortgage rates decline as projected. However, it’s always best to consult with a real estate expert to evaluate your specific situation.

Q: What’s the expected increase in home prices for 2025?
A: On average, home prices are forecast to rise by about 2.6% nationwide. Brevard County should see similar growth, making it important to keep an eye on local market trends.

Q: How many homes are expected to sell in 2025?
A: Experts project around 5.4 million homes will be sold in 2025, which is an increase from the estimated 4.5 million homes expected to sell in 2024.

Q: What’s driving the real estate market in 2025?
A: The key factors include slightly lower mortgage rates, an increase in buyer demand, and a steady supply of homes coming onto the market.

Bottom Line

The 2025 real estate market promises some shifts, with slight dips in mortgage rates and steady growth in home sales and prices. Whether you’re considering buying or selling in Brevard County, staying informed about these trends is crucial. Let’s connect to discuss how these projections could impact your plans and ensure you're making the best decisions moving forward.