Residential Brokers & Property Managers NAICS 531311, 531210

Jan 20, 2026 - Condo Sales Hit 10-Year Low

• Rising HOA fees, higher insurance costs, remote work trends, and weakened second home demand have reduced condominium demand as buyers increasingly choose single family homes instead, according to The Wall Street Journal. US condominium prices fell 1.9 percent in September and October, the steepest annual drop since 2012, according to fintech and data firm Intercontinental Exchange. More than one in ten condos are now estimated to be worth less than their last sale price, according to Zillow. Oversupplied markets have seen even steeper price declines. Sellers face slow traffic and tougher mortgage requirements for aging buildings, which has prompted stricter scrutiny from lenders. Many owners are cutting prices, delisting units, or renting them out as properties sit on the market for months. Even so, most condo owners still hold significant equity, and many are choosing to wait out the weak market.
• Sales of existing US homes increased by 5.1% in December from November and were up 1.4% year-over-year, according to the National Association of Realtors (NAR). NAR chief economist Lawrence Yun said, "2025 was another tough year for homebuyers, marked by record-high home prices and historically low home sales. However, in the fourth quarter, conditions began improving, with lower mortgage rates and slower home price growth. December home sales, after adjusting for seasonal factors, were the strongest in nearly three years. The gains were broad-based, with all four major regions improving from the prior month."

• Amid a softening job market and tighter immigration policy, multifamily rents and demand are weakening, according to Yardi Matrix. The average advertised US rent decreased by $5 in December to $1,737; year-over-year rent growth declined 20 basis points to 0.0%. While oversupply in some markets has slowed rent growth over the past two years, the weakness was confined to specific cities, primarily in the Sunbelt. Single-family build-to-rent also saw rents drop in December, falling $4 to $2,180 from November and 1% compared to December 2024. A correction in rent growth was likely inevitable following the surge in rent costs during the pandemic. While rents remain pressured, occupancy has held steady as the high costs of transitioning to homeownership keep renters in place.
• Elevated mortgage rates and economic uncertainty are forcing many home sellers to cut prices as overpriced listings linger on the market, according to The Wall Street Journal. In October, more than 20% of active listings had a price reduction, nearly double the share seen during the pandemic boom, according to Realtor.com. Homes priced correctly from the start tend to sell faster and closer to the asking price, while those requiring cuts often sit on the market five times longer. By October 2025, 57% of homes sold had undergone at least one price cut, compared with 47% between 2020 and 2024, with an average reduction of 3.7%, according to the National Association of Realtors. Buyers now enjoy more leverage, negotiating discounts and inspections, while sellers in oversupplied markets such as Southern Florida and Texas face higher delisting rates. Experts advise pricing based on recent neighborhood sales to avoid prolonged listings and deeper cuts later.