July 2025 Market Stats vs Last Year

July showed us no surprises. The trends we have been seeing lately continued in July.

While demand increased slightly over last year, less of these contracts are making it to the closing table. Nationwide it was reported that nearly 15% of pending home-purchase contracts were canceled in June—making it the highest June cancellation rate since records began in 2017. This could indicate a further shift towards a buyer's market where more options are available.

🔍 July Market Snapshot (vs. Last Year)

Buyer Demand: ⬆️  5%

Housing Supply: ⬆️ 32%

Median Sales Price:  0%

Days on Market: 25 days (vs. 15 days)

🔍 Key Takeaways

1. Demand has remained the same for three years 

With interest rates hovering between 6 and 7 percent for the last three years, so also demand and closed transactions have remained constant during this time period.

2. Supply is at the highest level in nine years

While the increase in supply is decelerating, active inventory is still 32% above last year and almost triple the supply at the market peak in 2021.

3. Days On Market (DOM) continues to rise

With many more homes on the market to choose from, the time to receive and accept an offer continues to increase. It now takes longer to sell a home than it has in eight years.

4. Prices may have peaked

With demand flat and supply and DOM continuing to increase it is only a matter of time before we see prices decline. Prices cannot continue to defy the law of supply and demand. In fact, I am now seeing more often sellers unable to get the price they paid for a property just 3 years ago.

📌 Long-term Predictions

As the market naturally slows in the fall we will start to see prices naturally come down as our current trends continue. In the short-term, I believe we have reached a market peak in price so prices may soften next year. I'm not expecting to see a significant change in interest rates for the next two years. Therefore I believe we will see a continued softening until rates get into the 5% range. Once we see 5% mortgage rates, our market will be off to the races again.