Marin: May 2025 Market Stats

Economic Volatility Injects Uncertainty into Spring Market

Pockets of activity continue in all price points, but demand is often uneven and unpredictable, and very property-specific. Some homes initially generate significant interest but then linger on the market; others continue to sell very quickly with multiple offers for well over the asking price. Agents report that some buyers and sellers are hesitant to move forward with plans, spooked by economic uncertainties, both personal and macroeconomic. The supply of homes for sale is up significantly year over year, the absorption rate is substantially down, and the number of price reductions continues to rise - but many agents report strong showing activity and active open houses. House markets are substantially stronger than condo markets.

The homes seeing the highest demand, and most likely to sell quickly with multiple offers, are houses in absolute move-in condition, often professionally staged, aggressively priced, in prime locations, and outside high fire-risk zones (and the associated issues regarding homeowner's insurance).

These mixed market conditions may simply be a temporary hiccup due to short-term economic uncertainty or a sign of transition to a market more balanced between buyers and sellers. Agents speak of considerable opportunities for attentive buyers.

As of early May, interest rates continue to hover near 7%, but stock markets have substantially recovered from early-April plunges. Consumer confidence readings saw precipitous declines last month. Specific Marin market data follows in this report, but note that April sales statistics reflect many transactions that went into contract before the severe financial market volatility, which began early in the month. May sales data will better reflect April market conditions.