Home sales could fall to a new three-decade low in 2025 as elevated mortgage rates continue to crimp affordability, according to new projections from the Realtor.com economic research team.
Sales volume for existing homes, previously projected to grow slightly this year compared with 2024, is now expected to fall 1.5% annually, to just 4 million transactions.
That would mark the slowest year for existing-home sales since 1995, when they registered 3.8 million. Home sales were also at their lowest since 1995 in both 2023 and 2024, according to the N.A.R.