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3 Signs the Housing Market Is Finally Recovering

If you’ve been wondering whether the real estate market is starting to stabilize again, recent data from the Mortgage Bankers Association (MBA) and Realtor.com point to a clear shift. After several years of rapid interest rate changes, tight inventory, and unpredictable buyer activity, we’re finally seeing indicators of a healthier, more balanced market.

Here are the three major signs you should know:


1. Mortgage Rates Are Easing

According to the MBA, average mortgage rates have been trending downward after hitting multi-year highs. Even small rate drops make a meaningful difference in monthly payments, which gives buyers more room to enter the market.

Lower rates = improved affordability — and that’s good news for anyone hoping to buy in the coming months.


2. Inventory Is Increasing

Realtor.com reports that the number of homes for sale has grown compared to this time last year. More inventory means:

  • Less competition for buyers

  • More options to choose from

  • A more balanced negotiation landscape

For sellers, it also means pricing your home accurately and preparing it well matters more than ever.


3. Buyer Demand Is Picking Back Up

With mortgage rates softening and more listings available, buyers who paused their search are stepping back in. The MBA notes increasing mortgage applications — a strong sign that consumer confidence is improving.

More demand doesn’t necessarily mean bidding wars every weekend, but it does signal a healthier, more active marketplace as we head into the next season.


What This Means for You

Whether you’re planning to buy or sell, these shifts indicate that the real estate market is moving into a more normal, sustainable phase. If you’d like help navigating what this means for your specific goals, I’m always happy to guide you.

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