RE/MAX Holdings Reports U.S. Housing Market Recovery with Increased Inventory and Steady Prices
- RE/MAX Holdings reports an 8.6% increase in U.S. home sales in May 2025, marking four consecutive months of growth.
- Inventory growth of 8.3% month-over-month indicates a gradual recovery in the housing market, according to RE/MAX Holdings.
- RE/MAX CEO Erik Carlson sees promising trends that may revitalize the market into the summer months.
U.S. Housing Market Shows Signs of Recovery Amidst Inventory Growth
In May 2025, the U.S. housing market experiences a notable increase in home sales, rising 8.6% from April and marking the fourth consecutive month of growth, according to data from RE/MAX Holdings, Inc. Despite this positive trend, sales remain 3.5% below the levels observed in May 2024, underscoring the ongoing challenges facing the industry. However, the surge in available inventory, which climbs 8.3% month-over-month and an impressive 34.8% year-over-year, suggests that the market is gradually recovering from previous constraints. This continuous growth in inventory over the past 17 months indicates a shift towards a more balanced market, offering consumers increased choices.
The median sales price for homes rises to $442,000 in May, reflecting a modest increase of $2,500 or 0.6% compared to the same month last year. This marks the 23rd consecutive month in which the median price remains relatively stable, indicating a steady trend that may reassure buyers and sellers alike. Additionally, new listings show a positive trajectory, with a 4.4% increase from April and a 7.9% rise year-over-year, further contributing to the expanding inventory. Erik Carlson, CEO of RE/MAX, interprets these trends as promising, suggesting the momentum could carry into the summer months, potentially revitalizing the market.
Regional data further highlights the recovery, particularly in cities like Atlanta, where buyers find increased options and longer selling times. The average home sells for approximately 99% of the asking price, maintaining consistency with the previous month but slightly down from the 100% achieved in May 2024. The average days on the market decrease to 39, while the months' supply of inventory rises to 2.5 months, indicating a slight shift towards a more buyer-friendly environment. Notable markets such as Washington, D.C., Fayetteville, AR, and Wichita, KS, report significant year-over-year increases in new listings, with growth rates of 25.4%, 25.1%, and 23.7%, respectively.
Overall, the latest RE/MAX report illustrates a developing recovery in the housing industry, marked by increased inventory and stable pricing. While the figures from 2024 remain a benchmark challenge, the current trends indicate a promising direction for both buyers and sellers as the market approaches the summer season. As the industry adjusts to these changes, RE/MAX Holdings remains well-positioned to navigate the evolving landscape of real estate.
