As February wrapped up, the local housing market showed glimmers of renewed energy. While inventory remained tight and prices hovered near winter levels, subtle but important shifts indicate that both buyers and sellers are gearing up for a more active spring season. Here’s a breakdown of what happened in the market in February 2025—and what it means for you.
Inventory Still Low, But Slowly Rising
Inventory levels remained tight in February with only 24 homes actively for sale, just a slight increase from 19 in January. The market continues to struggle with limited supply, making it a challenging environment for buyers who are hoping for more selection.
That said, the number of new listings jumped from 23 in January to 28 in February, signaling that some homeowners are starting to prepare for the spring market. This is a positive sign—though the pace of new inventory still lags far behind buyer demand.
Buyer Activity Picks Up
Buyers wasted no time acting on what was available. February saw 19 homes go pending, unchanged from January, and 13 homes closed, down slightly from 19 the previous month. While closed sales dipped, the consistent pending activity shows buyers are still engaged and writing offers—especially when homes are priced well and show ready.
Both the absorption rate and months of inventory reflect this ongoing imbalance. The absorption rate for closed sales was 79.2%, and 94.7% for pending sales—both indicating a seller’s market where homes are being quickly absorbed by demand. Months of inventory remained low at 1.5 months for closed sales, reinforcing that the supply-demand gap remains wide.
Home Prices Stay Competitive
February’s median sold price reached $695,000, up from $685,000 in January, and nearing its recent highs. This suggests that home values are stabilizing after a quieter winter and may begin increasing again as we move into spring.
Interestingly, sellers are starting to regain pricing power. Homes sold for 99% of their original list price in February, up from 97% in January. This means fewer price reductions and more buyers willing to pay near or at asking.
The average price per square foot also rebounded to $369, one of the higher figures we’ve seen in recent months. This metric supports the idea that buyers are not only competing for homes—they’re willing to pay a premium per square foot in today’s constrained inventory environment.
Homes Selling Faster Again
Perhaps the most noticeable shift is how quickly homes are beginning to sell. The average days on market dropped sharply to just 29 days, compared to a high of 59 days in January. The average CDOM (cumulative days on market) also dropped from 52 days to 45, meaning homes that were previously lingering are now moving more quickly.
These are signs that the market is heating up again, and buyers are becoming more decisive—possibly due to concerns over interest rate fluctuations or fear of rising prices in spring.
Key Takeaways for Sellers
If you’re thinking of selling, February’s numbers point to a strong opportunity. Low inventory and motivated buyers are pushing prices up and reducing time on market. Homes that are clean, staged, and priced well are attracting attention—and often going under contract quickly.
If you want to sell this spring, now is the time to prepare. That means decluttering, making light updates, and connecting with a real estate agent to get your strategy in place.
Key Takeaways for Buyers
For buyers, competition is already ramping up. With homes selling faster and closer to asking price, the days of heavy negotiation may be behind us—for now. If you’re in the market to buy, make sure you’re pre-approved, clear on your priorities, and ready to act when the right home hits the market.
Bottom Line:
February 2025 may have marked the end of the winter lull. With prices holding firm, homes selling faster, and more listings trickling in, the spring market is officially on the horizon. Whether you’re buying or selling, timing and preparation are everything—let’s talk about how to win in this market.
