Menu Search

Company Announcements

Zillow Group Inc

Lower mortgage rates extend housing momentum into fall

Buyers and sellers remained unseasonably active, bouncing back after an August lull

  • The number of buyers markets more than doubled, rising from six to 15 over the past year.
  • New listings from sellers rose 3% annually, emerging from a 3% annual decline in August.
  • Buyers have 14% more options to choose from compared to a year ago. 

SEATTLE , Oct. 20, 2025 /PRNewswire/ -- A September dip in mortgage rates paired with a stock market bump gave a boost to what is traditionally the start of the slow season in real estate. The latest market report1 from Zillow® shows activity from sellers and buyers is unseasonably resilient after a lackluster August.

"September's market showed surprising stamina," said Kara Ng, senior economist at Zillow. "Typically, both buyers and sellers step back this time of year, but lower mortgage rates and stock market highs provided a second wind heading into fall. This time of year can be a sweet spot for buyers. There's often less competition than in the spring and more time to make sure the home's a perfect fit. Sellers who stay in the market into the holidays may be more open to negotiating."

Unexpected showing of sellers in September

More homeowners decided to list their properties in September after a particularly slow August. New listings, which were down 3% year over year in August, rebounded to show 3% annual growth in September. Typically, new listings drop off sharply heading into fall — they've fallen an average of 9% in September over the past seven years — making this year's mere 2% drop exceptional. 

Buyers also remained active in September. Pending sales fell 5.4% from August to September, a smaller drop than is typical for this time of year and less than half the usual monthly decline in September. 

Total inventory fell 1% from August to September, but is up 14% from last year. 

Buyer's markets more than double as competition eases

A year ago, six of the nation's 50 largest metros were buyer's markets; this September, buyers have the edge in 15 metros. Zillow's market heat index shows the strongest buyer's markets are Miami, New Orleans, Austin, Jacksonville and Indianapolis. That's due, in large part, to a surge of new construction in most of those areas in recent years. 

The hottest markets for sellers are in the Northeast and Bay Area: Buffalo, Hartford, San Jose, San Francisco and New York — places where builders face some of the most stringent land use restrictions.

Fall outlook for buyers & sellers
Fall can be a sweet spot for buyers, with lower competition than in the spring and more homes for sale than later in the year. Sellers who don't sell by the holidays may be more open to negotiating concessions on price, closing costs and mortgage rate buydowns. 

Sellers, meanwhile, should present their listings in the best possible light to help them stand out to buyers. Home sellers in a buyers or neutral market should be prepared for buyers asking for concessions on closing costs and rate buydowns.

Metro Area*

Zillow Home Value Index (ZHVI)

ZHVI Year over Year (YoY)

Share of Listings With a Price Cut 

Market Favors (Zillow Market Heat Index)

Inventory Change YoY

New Listings Change YoY

New Listings Change Month over Month

United States

$364,891

0.0 %

26.2 %

Neutral

14.0 %

3.3 %

-2.0 %

New York, NY

$712,114

2.8 %

16.4 %

Strong Seller

7.6 %

4.8 %

24.1 %

Los Angeles, CA

$948,924

-1.3 %

23.0 %

Seller

18.5 %

-4.9 %

-2.9 %

Chicago, IL

$342,600

3.4 %

29.4 %

Seller

-2.5 %

0.2 %

-0.8 %

Dallas, TX

$363,788

-4.1 %

32.8 %

Neutral

15.6 %

-3.1 %

-9.5 %

Houston, TX

$306,359

-2.2 %

28.7 %

Buyer

25.0 %

-2.5 %

-10.6 %

Washington, DC

$576,227

0.3 %

29.3 %

Seller

30.5 %

7.7 %

20.2 %

Philadelphia, PA

$381,306

2.8 %

26.7 %

Neutral

10.4 %

6.6 %

11.2 %

Miami, FL

$471,301

-5.0 %

20.1 %

Buyer

13.6 %

-7.9 %

3.3 %

Atlanta, GA

$381,717

-3.0 %

29.7 %

Buyer

18.4 %

-1.7 %

-5.9 %

Boston, MA

$724,620

1.0 %

24.4 %

Seller

17.8 %

8.5 %

62.8 %

Phoenix, AZ

$446,616

-3.5 %

31.3 %

Neutral

16.2 %

1.5 %

12.6 %

San Francisco, CA

$1,102,769

-3.5 %

20.8 %

Strong Seller

8.8 %

0.2 %

35.8 %

Riverside, CA

$579,795

-2.6 %

22.8 %

Seller

15.7 %

-4.0 %

-2.1 %

Detroit, MI

$263,008

3.3 %

28.2 %

Buyer

11.7 %

5.2 %

-9.1 %

Seattle, WA

$744,272

-1.1 %

31.7 %

Neutral

20.7 %

3.6 %

14.5 %

Minneapolis, MN

$384,177

2.0 %

29.2 %

Seller

7.0 %

3.1 %

-1.7 %

San Diego, CA

$917,590

-2.8 %

28.0 %

Seller

19.6 %

-6.6 %

-11.5 %

Tampa, FL

$357,862

-6.4 %

31.1 %

Buyer

13.1 %

4.7 %

-4.4 %

Denver, CO

$572,214

-3.0 %

36.0 %

Neutral

15.8 %

-4.4 %

3.0 %

Baltimore, MD

$397,496

1.6 %

29.4 %

Seller

22.1 %

10.0 %

1.5 %

St. Louis, MO

$267,715

2.3 %

28.6 %

Seller

7.1 %

5.4 %

0.9 %

Orlando, FL

$386,342

-4.7 %

28.0 %

Neutral

15.4 %

-4.6 %

-6.0 %

Charlotte, NC

$386,142

-0.7 %

29.3 %

Buyer

20.2 %

7.0 %

-1.1 %

San Antonio, TX

$279,011

-3.1 %

29.6 %

Buyer

11.8 %

0.0 %

-7.7 %

Portland, OR

$545,908

-1.1 %

31.4 %

Neutral

11.9 %

-3.5 %

-9.6 %

Sacramento, CA

$575,319

-2.5 %

28.6 %

Seller

13.4 %

-6.9 %

-9.2 %

Pittsburgh, PA

$225,624

1.8 %

31.1 %

Buyer

8.8 %

8.1 %

-0.5 %

Cincinnati, OH

$300,755

2.9 %

31.8 %

Neutral

16.5 %

10.6 %

-5.4 %

Austin, TX

$428,956

-6.0 %

29.5 %

Buyer

11.2 %

-3.0 %

-10.5 %

Las Vegas, NV

$430,992

-1.2 %

30.0 %

Neutral

27.8 %

-7.9 %

-9.5 %

Kansas City, MO

$317,274

2.6 %

32.1 %

Neutral

13.4 %

4.9 %

-1.1 %

Columbus, OH

$324,608

1.5 %

34.2 %

Neutral

18.2 %

1.9 %

-12.2 %

Indianapolis, IN

$288,729

1.5 %

36.4 %

Buyer

18.2 %

11.4 %

-3.0 %

Cleveland, OH

$244,289

4.6 %

27.1 %

Seller

11.7 %

8.7 %

-2.3 %

San Jose, CA

$1,563,966

-1.7 %

19.6 %

Strong Seller

7.9 %

-3.6 %

19.4 %

Nashville, TN

$452,379

-0.2 %

34.1 %

Buyer

19.5 %

3.1 %

-12.8 %

Virginia Beach, VA

$362,433

1.7 %

26.2 %

Neutral

16.6 %

6.1 %

-10.8 %

Providence, RI

$507,577

2.3 %

24.2 %

Seller

10.9 %

1.5 %

10.1 %

Jacksonville, FL

$349,829

-3.4 %

29.0 %

Buyer

9.9 %

-5.0 %

-7.2 %

Milwaukee, WI

$374,084

3.5 %

22.4 %

Neutral

1.0 %

6.9 %

0.3 %

Oklahoma City, OK

$241,588

1.0 %

30.1 %

Neutral

14.8 %

1.8 %

-10.7 %

Raleigh, NC

$439,652

-2.5 %

36.8 %

Neutral

36.2 %

11.6 %

4.5 %

Memphis, TN

$241,573

-0.6 %

30.0 %

Buyer

8.9 %

-3.9 %

-14.0 %

Richmond, VA

$384,103

1.3 %

30.1 %

Seller

17.3 %

6.5 %

12.6 %

Louisville, KY

$271,220

3.4 %

32.7 %

Buyer

19.8 %

11.2 %

-3.9 %

New Orleans, LA

$255,808

0.6 %

24.7 %

Buyer

4.9 %

15.6 %

3.3 %

Salt Lake City, UT

$559,991

2.2 %

33.9 %

Neutral

19.8 %

6.2 %

-2.5 %

Hartford, CT

$387,227

4.1 %

20.9 %

Strong Seller

3.5 %

1.3 %

-1.1 %

Buffalo, NY

$280,447

3.6 %

23.0 %

Strong Seller

8.8 %

7.8 %

-3.1 %

Birmingham, AL

$255,704

0.4 %

24.5 %

Neutral

16.3 %

14.2 %

3.2 %

*Table ordered by market size

1 The Zillow market report is a monthly overview of the national and local real estate markets. The report is compiled by Zillow Research. For more information, visit zillow.com/research.

About  Zillow Group
 Zillow Group, Inc. (Nasdaq: Z and ZG) is reimagining real estate to make home a reality for more and more people. As the most visited real estate app and website in the United States, Zillow and its affiliates help people find and get the home they want by connecting them with digital solutions, dedicated real estate professionals, and easier buying, selling, financing, and renting experiences. 

Zillow Group's affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans℠, Zillow Rentals®, Trulia®, Out East®, StreetEasy®, HotPads®, ShowingTime+℠, Spruce®, and Follow Up Boss®. 

All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2025 MFTB Holdco, Inc., a Zillow affiliate.

(ZFIN)

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/lower-mortgage-rates-extend-housing-momentum-into-fall-302588131.html

SOURCE Zillow