Do Your Clients Want to Buy a Home in 2025? Here Are Key Steps They Should Take

Insights from a financial advisor

There’s no sugarcoating it—the 2025 housing market is challenging. Rates remain elevated, prices are sticky, and inventory is still historically low. Many clients are asking the same question: Should I wait this out?

My answer: Only if you have a plan. Because waiting without a strategy is just wishful thinking.

Key Takeaways

• Buying a home in 2025 can be challenging, as rates are high and inventory are historically low.
• Mortgage rates are hovering between 6% and 7%, and volatility will likely continue.
• Before purchasing a home, it is important to assess financial readiness, organize a homebuying team, and prepare for different scenarios. 

What I’m Telling My Clients

We’re no longer in a market where patience alone pays off. My clients aren’t just interested in “finding the right time.” They’re preparing to act with clarity, speed, and confidence.

Sellers remain in control, mainly because so many are sitting on ultra-low interest rates they locked in years ago. As a result, inventory is thin and competitive, especially in the mid-tier market. Even if the Federal Reserve initiates rate cuts, those reductions are unlikely to lower mortgages soon.

This means that if you’re buying this year, you can’t wait for perfection. You have to be ready for the possible. Here are the steps to take.

Important

30-Year Fixed Mortgage Rate Averages rose from 3.3% in April  2020 to 6.8% in April 2025, essentially doubling.

1. Assess Readiness

First, we assess financial readiness. That means understanding how buying a home will affect the following:

• True affordability for your budget—not just what a lender will approve.
• Your emergency savings and liquidity post-close.
• Current credit positioning and debt obligations.
• How a new mortgage impacts broader financial goals.

2. Get Your Team Organized

Next, we align your team—realtor, lender, advisor—so decisions can be made quickly. In this market, the buyer who hesitates loses, so having the right support system can speed things up safely and efficiently.

Tip

Curious about how to build a homebuying team? Read more here.

3. Prepare for Different Situations

Finally, we map out scenarios. If rates drop, we refinance. If the right property becomes available mid-year, we’re ready to move. If prices adjust, we reassess. This isn’t about guesswork—it’s about being informed and proactive.

The Bottom Line

2025 homeownership is still within reach, but requires more preparation than ever. The people who succeed in this market won’t be the ones chasing headlines. They’ll be the ones who understand the market, know their numbers, and come to the table with a strategy.