Market Pulse February 2025: Is love in the air for the spring housing market?

Like some Valentine's dates, the housing market may be sending mixed signals as the spring market approaches. A savvy real estate agent is the best cupid when it comes to helping buyers and sellers carefully navigate a somewhat challenging housing market to achieve real estate goals they truly love.

Love Me (Positive Trends for Buyers & Sellers)

• Mortgage Rates Took a Brief Dip – The average 30-year fixed rate recently fell under the 7.0% marker, offering a small degree of relief.
• Buyer Demand Shows Heartbeat – Purchase applications remain slightly above last year’s levels, signaling buyer interest.
• More Sellers Offering Discounts – Price reductions are up 29% year-over-year as sellers try to entice hesitant buyers.

Love Me Not-So-Much (Challenges Still in Play)

• Mortgage Rates Ticking Up After Inflation Report – After a short reprieve, mortgage rates are on the rise following a hotter-than-expected inflation report.
• Fed Not Rushing to Cut Rates – Despite a push for lower interest rates from the new administration, the Fed remains focused on taming inflation before making any moves.
• Inflation Stubbornly High – CPI rose for the fourth straight month, hitting 3% in January, moving further from the Fed’s 2% target.
• Housing Costs Still a Problem – Shelter costs remain a major inflation driver, making it harder for prices—and mortgage rates—to cool down.

Sources: Realtor.com

East Bay Market Snapshots: Single family homes, condos, and townhomes as of February 2025

Here are the latest market stats from around the East Bay for single-family homes, condos, and townhomes sales as of February 2025.

Alameda County - Single Family Homes

 

Alameda County - Condos & Townhomes

 

 

Contra Costa County - Single-Family Homes

 

 

 

 

 

Contra Costa County - Condos & Townhomes

 

 

Sources: Bay East Association of Realtors and Contra Costa Association of Realtors.

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