Is It Finally a Buyer’s Market?

New Survey from Bright MLS Shows Buyers Facing Less Competition in Early 2025

/EIN News/ -- North Bethesda, MD, April 30, 2025 (GLOBE NEWSWIRE) -- North Bethesda, Md. (April 30, 2025) —More inventory, fewer bidding wars, and slightly lower mortgage rates are making the homebuying process easier than it’s been in recent years. According to first-quarter survey results released today from Bright MLS, these signs point to a potentially more overall favorable year for homebuyers in 2025.

According to responses from approximately 3,000 real estate agents representing buyers and sellers during the first quarter of 2025 across Bright’s six-state Mid-Atlantic market, including Washington, D.C., buyers not only acted more quickly but were also more successful during the first three months of the year.

"While it’s not officially a buyer’s market yet, the pendulum is clearly swinging away from the intensely competitive conditions of recent years,” said Lisa Sturtevant, Chief Economist at Bright MLS. “Buyers are seeing more options and facing fewer obstacles compared to this time last year.”

Buyers Finding Homes Faster with Less Competition

Nearly 40% of buyers who closed on a home in the first quarter of 2025 had been searching for less than a month—double the share from the same time in 2024. More inventory on the market has helped reduce the time spent searching and the number of offers needed to win a home.

Half of buyers in the first quarter made an offer on just one home—the one they ultimately purchased—up slightly from previous quarters. First-time buyers still face more hurdles than repeat buyers, with 43% succeeding on their first offer compared to 51% of repeat buyers.

Compromises Still Common Despite Easier Conditions

Although buyers are finding homes more easily, they’re still making compromises. About 45% of buyers had to settle on at least one aspect of their home, most often the location (31.5%%), followed by home quality (27.6%) and price (26.0%). Agents report that while the market is less intense, buyers remain cautious and strategic, knowing competition hasn’t disappeared entirely.

“Sellers aren’t as aggressive as last year, but they’re also not giving away major concessions,” Sturtevant said. “Closing cost help and repair credits are still less common than buyers might hope for.”

Mortgage Rates Less of a Roadblock

Although mortgage rates hovered around 7% at the start of 2025, even a modest decline was enough to draw buyers back into the market. Over 80% of agents said their clients found it “very” or “somewhat” easy to qualify for a mortgage in the first quarter. The number of clients pausing their search due to high rates has also dropped— to 42% in 2025 from nearly 60% in the first quarter of 2024.

Market Outlook: More Listings, More Opportunities for Buyers in the Months Ahead

According to Bright’s proprietary Buyer and Seller Activity indices, which measure agents’ outlook for how active buyers and sellers will be in the next three months, we should expect more listings are expected this spring than there were last spring.

The Seller Activity Index of 47.2 in April is about the same as it was in March, but is up significantly from a year ago (35.4).  Agents also are optimistic that buyers will also be active in the coming months, though the outlook is more cautious than it was a year ago. The Buyer Activity Index was 60.1, which was still optimistic. (An Index value above 50 indicates optimism in future market activity.) However, the Buyer Index is much lower than it was in April 2024 when it was at a near record high of 68.1. 

“The housing market in 2025 feels different—less frenzied and more balanced,” said Sturtevant. “If these trends continue, we could see the most buyer-friendly conditions in years this spring.”

A full copy of the survey findings is located at https://www.brightmls.com/article/market-survey-is-it-finally-a-buyers-market

Christy Reap
                    Bright MLS 
                    2023099362
                    christy.reap@brightmls.com