Back to Reef Daily
April 24 2025
Reef Daily
Reef Daily | April 24 2025
Housing Market Update
Latest Market Data (April 24, 2025)
- Existing home sales fell 5.9% in March to a seasonally adjusted annual rate of 4.02 million, the largest monthly decline since November 2022
- Year-over-year, sales decreased by 2.4% compared to March 2024
- The median existing-home sale price rose 2.7% from March 2024 to $403,700, marking the 21st consecutive month of year-over-year price increases
- Housing inventory jumped 8.1% from February to 1.33 million units at the end of March, representing a 4.0-month supply at the current sales pace
- Inventory is up 19.8% from one year ago compared to March 2024
- Lawrence Yun, NAR Chief Economist, cited "affordability challenges associated with high mortgage rates" as the primary factor for sluggish activity
Regional Sales Performance (March 2025)
- Northeast: Sales decreased 2% from February, unchanged from March 2024
- Midwest: Sales fell, down 3.1% from a year ago
- South: Sales dipped, down 4.2% from last year
- West: Only region to see year-over-year growth, up 1.3% from March 2024
Mortgage Rates
Type | Today's Rate | Last Week's Rate |
---|---|---|
30-year fixed | 6.85% | 6.86% |
15-year fixed | 6.06% | 6.08% |
5/1 ARM | 6.08% | 6.19% |
Market Impact
- Mortgage rates have increased slightly over the past week
- Oliver Allen, senior U.S. economist at Pantheon Macroeconomics, expects home sales to "flatline at best" due to the gap between current mortgage rates (nearly 7%) and rates on existing mortgages (averaged 4.3% in Q4)
Notable Transactions
Commercial Highlights
- Apollo Commercial Real Estate Finance reported Q1 2025 results with net income of $0.16 per diluted share and distributable earnings of $0.24 per diluted share on April 24
- Apollo deployed $650 million in capital during Q1 2025, with CEO Stuart Rothstein noting focus on "redeploying capital into newly originated loans"
- Digital Realty Trust raised its annual core funds from operations forecast on April 24, now anticipating range of $7.10-$7.15 per share, up from previous $7.00-$7.10 projection
- Digital Realty's shares rose 3.3% in extended trading following the announcement of strong data center demand
Market Indicators
Inventory Trends
- Total housing inventory registered 1.33 million units at the end of March, up 8.1% from February and 19.8% from one year ago
- Unsold inventory sits at a 4.0-month supply at the current monthly sales pace, improved from 3.5 months in February and 3.2 months in March 2024
- Properties typically remained on the market for 36 days in March, up from 33 days in March 2024, indicating slower absorption rates
CRE Market Sentiment
- CRE Finance Council survey released April 24 shows optimism in commercial real estate financing dropped by 30.5% in Q1 2025, the second largest decline ever recorded
- 80% of respondents anticipate economic conditions to deteriorate over the next year, up from just 12% in Q4 2024
- 50% of those surveyed expect declining conditions specifically in the commercial real estate market
- 60% attributed their pessimistic outlook to trade policy risks and rising construction expenses linked to new tariffs
- Despite market concerns, 80% of surveyed professionals expect CMBS issuance to either remain stable or experience only a slight downturn
Buyer Demographics
- First-time buyers accounted for 32% of sales in March 2025
- All-cash transactions represented 26% of sales in March, down from 28% a year earlier
Regional Developments
West Region
- The West was the only U.S. region to see a year-over-year increase in existing home sales, up 1.3% compared to March 2024
- The median price in the West region was $621,200, up 2.6% from March 2024, continuing to maintain the highest median price across all regions
South Region
- The median existing-home price in the South was $360,400 in March, representing a modest 0.6% increase year-over-year, the smallest regional price growth
Sources
- reddit.com
- reddit.com
- reddit.com
- reuters.com
- bankrate.com
- compliancealliance.com
- reuters.com
- usnews.com
- reddit.com
- forbes.com
- kccu.org
- reuters.com
- reddit.com
- deseret.com
- cnbc.com
- reddit.com
- themortgagepoint.com
- reuters.com
- reddit.com
- tradingview.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reuters.com
- roselawgroupreporter.com
- confluenceinvestment.com
- npr.org
- themortgagereports.com
- nuvisionfederal.com
- nar.realtor
- ey.com
- finance-commerce.com
- apnews.com
- wxpr.org
- spglobal.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- theepochtimes.com
- realestatenews.com
- realtor.com
- nuvisionfederal.com
- wsj.com
- credaily.com
- housingwire.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reuters.com
- reuters.com
- reuters.com
- reuters.com
- moomoo.com
- cnbc.com
- investopedia.com
- cnbc.com
- bloomberg.com
- reddit.com
- themortgagepoint.com
- cfpublic.org
- eyeonhousing.org
- nypost.com
- usnews.com
- usatoday.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reddit.com
- reuters.com
This newsletter is for informational purposes only and should not be considered as financial advice.
© 2025 Reef Insights. All rights reserved.
Get Daily Updates
Subscribe to Reef Daily and never miss our market insights.
Daily Market Updates
Curated insights delivered every morning
Free newsletter subscription