U.S. home prices projected to drop 2% in 2025 as inventory nears pre-pandemic levels, shifting the market toward buyers.
High mortgage rates and stagnant incomes keep affordability strained, limiting buyer activity despite price declines.
Rental growth slows sharply, with single-family rents rising 2.75% in 2025 versus 4.5% in 2024.
Sellers face longer sales timelines, requiring competitive pricing and strong home presentation to attract buyers.
