Pursuing homeownership in 2025? Here's what you need to know

 

MILWAUKEE (CBS 58) --- The last several years have been full of ups and downs for the rental and housing markets, but experts in our area say in 2025, there's hope for those who plan ahead.

"I think every year is a good year to buy," said Maura Strickler, associate vice president at Shorewest Realtors.

There's been some debate recently about whether or not it's more affordable to buy or rent. The answer can vary from person to person but when it comes to the market, many realtors will tell you there's value in homeownership.

"Building wealth. The fastest way to do it is through homeownership," Strickler said.

Anyone hoping to buy a home in the new year should keep patience and planning top of mind.

We also checked in with Abby Hauke, regional sales manager at First Weber Real Estate in Glendale. She says looking at the market in recent years, ultimately, it's a supply and demand issue.

"Anytime we have less than six months of inventory on the market, we are in what's called a seller's market. We have been there for many years now and there's really no projection of us getting out of the seller's market anytime soon," said Hauke.

That comes from a 10-year backlog of new construction not being produced at a rate to keep up with demand.

"That's why we're seeing this influx of buyers," Hauke said.

Developers are also producing apartments more often because it's an easier process for them. "We see this apartment availability rising," she said. Which brings us to the rental market where inventory is plenty, and prices continue spiking.

"The prices of rentals continue to increase probably at a rate that exceeds the housing market, and the reason being is we are seeing new apartment complexes come in with high-end amenities," said Strickler.

Whether you're hoping to rent or buy in the new year, you have options.

"There's 100% opportunities out there."

Hauke recommends meeting with a real estate expert who can help connect you to a lender to discuss your options.

Stricker says for buyers, there's a misconception that 20% down payment is needed.

"If your new year's resolution is to buy a house in 2025, absolutely start saving, but you don't have to put all of that money down. You can put down 3% or 5% and keep the rest for improvements. You don't have to have 20% down to buy a house.

Both Stricker and Hauke agree that homeownership is achievable if you explore all your options and make a plan.