Philadelphia Stands Out as Lone Major City in Top 20 Most Popular Housing Markets of 2025 | | |
Philadelphia made Zillow’s list of the most popular real estate markets of 2025 and was the only large city included among the predominantly midsize markets, writes Michaelle Bond for The Philadelphia Inquirer.
The majority of locations on the list fall within a population range of roughly 100,000 to 300,000 residents, making No. 19 Philadelphia a notable outlier.
The City of Brotherly Love benefited from strong housing affordability, which remains the primary driver of its popularity. Philadelphia also gained momentum from its central East Coast location, which is positioned between major job hubs such as New York and Washington. In addition, the city has evolved into a desirable place to live thanks to its culture, vibrant restaurant scene, and an active music and art communities.
Read more from Philadelphia.Today.
| | Down Payments Shrank In 2025, Creating Greater Affordability For Buyers | |
First-time buyers are seeing an important facet of affordability improve: down payments.
In 2025, the typical U.S. household needed seven years to save for a typical down payment, down from a peak of 12 years in 2022, according to a new analysis from Realtor.com.
Seven years is still double pre-pandemic norms, however, proving that affordability is a long way from fixed.
Read more from The Mortgage Note.
| Housing Payments Drop to Lowest Level in 2 Years | |
The median U.S. monthly housing payment fell to $2,365 during the four weeks ending January 4, down 4.7% from a year earlier and the lowest level since the start of 2024.
Monthly payments fell largely because the weekly average mortgage rate dropped last week, the lowest level in over a year and down from roughly 7% at the beginning of 2025. Rates are declining because the labor market and overall economy are showing signs of weakness; we will know more about how 2026 is shaping up when this Friday’s jobs report is released. Home prices are still rising, up 1.1% year over year, but price growth has decelerated from roughly 5% at this time last year.
Read more from Redfin.
| Real Estate Agents Say the Housing Market is Starting to Balance Out | |
The U.S. housing market has yet to pick up steam into 2026, but real estate agents say there’s been a real shift toward a more balanced market, according to the quarterly CNBC Housing Market Survey.
Mortgage rates didn’t move much at all in the last quarter of 2025, but home prices are steadily easing and there are early signs of what could be more activity ahead.
“The buyers I have seen have been buying because of life circumstances, whether it’s having a baby or moving for a job or retiring or downsizing,” said Ashley Rummage, a real estate agent in Raleigh, North Carolina.
Read more from CNBC.
| Pending Home Sales Increased in November as Affordability Improved | |
Pending home sales increased 3.3% in November compared with October and were up 2.6% compared with November 2024, according to the National Association of Realtors (NAR).
Regionally, pending home sales rose in the Northeast, Midwest, South and West – both month-over-month and year-over-year.
“Homebuyer momentum is building,” says Lawrence Yun, chief economist for NAR, in a statement. “The data shows the strongest performance of the year after accounting for seasonal factors, and the best performance in nearly three years, dating back to February 2023.”
Read more from Mortgage Orb.
| Existing Home Sales Rise Slightly in November | | |
The housing market got a small boost from lower mortgage rates last month, with sales of previously owned homes rising for the third-straight month after a weak spring and summer.
Closings on existing homes rose 0.5% in November from the prior month to a seasonally adjusted annual rate of 4.13 million, the highest level in nine months, the National Association of Realtors® reported Friday.
Still, the November figure was down 1% from last year, when a surge of home sales in the fourth quarter was not enough to prevent 2024 from registering the lowest number of home sales in nearly 30 years.
Read more from Realtor.com.
| | More Three-Bedroom Homes Built Last Year | | |
In 2024, three-bedroom single-family homes reached their largest share of starts since 2011, according to the National Association of Home Builders.
Last year, 47% of the single-family homes started had three bedrooms, 32.4% had four, 11.4% had two or fewer and 9.2% had five or more.
In comparison to 2023, three-bedroom homes were up from 45.7%, while five-or-more-bedroom homes were down from 9.7%. Other homes held relatively steady.
In the Middle Atlantic region (Pennsylvania, New York and New Jersey), 43.4% of new single-family homes had four or more bedrooms.
Read more the PA Association of Realtors.
| | Colors of the Year 2026: Dreams of Rest and Relaxation | | |
A new year calls for new colors of the year. While last year’s colors made some bold statements, this year’s mark a return to focusing on rest and relaxation. These colors are dreamy, gentle, timeless and grounding.
Pantone – Cloud Dancer
What’s dreamier than a cloud? This warm, off-white hue promises clarity and signifies a fresh start – perfect for the new year. Pantone describes Cloud Dancer as “a lofty white that serves as a symbol of calming influence in a society rediscovering the value of quiet reflection.”
Read more from the PA Association of Realtors.
| | I hope you enjoyed this Market News Update. For more information about how I can help you, please contact me. | | Information and analysis is obtained through third parties and is deemed accurate but not guaranteed. Philadelphia Mortgage Advisors is a licensed mortgage lender by the PA Dept. of Banking and Securities, NJ Dept. of Banking & Insurance, the State of DE, the Florida Office of Financial Regulation and MD Mortgage Lender #23004. NMLS #128570. | | | | |
