Pandemic Buyers Set to Become Major Players in Next Year's Home Sales Market

As the housing market continues to adjust in the aftermath of the pandemic, new research from Bright MLS reveals intriguing trends about the evolving landscape of homeownership. A recent survey of 1,581 homeowners indicates that a significant portion of the sellers we can expect in 2025 bought their homes relatively recently—within the last five years. This shift points to a future characterized by younger sellers, particularly as baby boomers tend to remain in place.

Who's Selling in 2025?

The survey data shows that around 17.5% of homeowners are planning to sell their homes in the upcoming year. Among these, nearly one-third (32.2%) have lived in their homes for under five years. The most active sellers are homeowners in their 30s and 40s, with 26.8% of those aged 30-39 and 28.0% of those aged 40-49 expressing their intent to sell in the next twelve months. In contrast, only 10.1% of homeowners aged 50 and above are considering a sale, underscoring the generational divide in current market activity.

Lisa Sturtevant, Chief Economist at Bright MLS, noted that the historically low mortgage rates during the pandemic incentivized many individuals and families to purchase homes. Furthermore, rising home prices have allowed these buyers to accumulate substantial equity, thus empowering them to consider moving even in a climate of higher interest rates.

Motivations Behind Selling

The study highlights that traditional life milestones, such as career changes and family developments, remain primary motivators for selling a home. Among homeowners aged 30-39, 36.7% cited job-related reasons for their decision to sell, while 34.4% pointed to family-related factors, including marriage and childbirth. Conversely, for those in their 40s, family changes took precedence, with 43.8% indicating that personal circumstances shaped their decision, as opposed to 25.8% who referenced job changes.

This indicates that a significant portion of homeowners view their living arrangements as closely linked to key life changes rather than solely financial considerations.

The Impact of Mortgage Rates

Interestingly, the survey revealed that approximately 30.3% of homeowners in their 30s and 40s who plan to sell have mortgages with interest rates below 4%. Additionally, over two-thirds (67.4%) have rates below 5%. This data implies that life events outweigh concerns about