San Antonio’s Housing Market in 2025: A Buyer’s Market Amid National Economic Trends

The San Antonio real estate market in 2025 stands in contrast to much of the nation. While many metro areas are struggling with low inventory and high mortgage rates, San Antonio has more housing inventory than we’ve seen in years. With an average of 81 days on the market, homes are sitting longer, giving buyers more leverage to negotiate favorable deals.

This shift to a buyer’s market comes as national economic trends, including inflation, interest rates, and employment, continue to shape real estate conditions. Let’s explore how national factors impact the San Antonio market and what it means for homebuyers and sellers in 2025.

Economic Trends Impacting Housing Nationwide

Producer Price Index (PPI) and Inflation

According to the U.S. Bureau of Labor Statistics, the Producer Price Index (PPI) for final demand remained unchanged in February 2025, following increases of 0.6% in January and 0.5% in December 2024. Over the past 12 months, final demand prices rose 3.2%, reflecting ongoing inflationary pressures.

• Goods Prices: Increased 0.3%, with food prices jumping 1.7%. Notably, chicken egg prices surged 53.6%.
• Services Prices: Declined 0.2%, the biggest drop since July 2024, largely due to a 1.0% decrease in trade service margins.
• Energy Prices: Gasoline prices fell 4.7%, contributing to an overall 1.2% decline in energy costs.

Mortgage Rates and Homeownership Trends

With mortgage rates fluctuating between 6%-8%, homeowners across the country are hesitant to sell, creating low inventory in many markets. Nationally, homeowners are staying in their homes for an average of 11.8 years, nearly double the 6.5-year average in 2005. This trend is even stronger in high-cost states like California, where Los Angeles leads the nation with an average tenure of 19.4 years.

However, San Antonio stands out from this trend. Unlike other major metro areas struggling with a lack of inventory, San Antonio’s housing supply has significantly increased. This abundance of listings is pushing the market in favor of buyers, unlike in most of the country where sellers still hold leverage.

San Antonio's Housing Market in 2025: A Shift to a Buyer’s Market

More Homes Available, Longer Days on Market

San Antonio has more homes on the market than we've seen in years, leading to longer selling times and greater negotiating power for buyers. With an average of 81 days on the market, buyers have the luxury of exploring multiple options and negotiating for lower prices or seller concessions.

Why is San Antonio Different?

1. Increased New Construction
• San Antonio has seen a boom in new home developments, contributing to a higher inventory.
• Builders are offering price reductions and incentives such as rate buy-downs and closing cost assistance to attract buyers.
2. Affordability Compared to Other Texas Cities
• While Austin and Dallas remain expensive, San Antonio offers more affordable housing options, making it attractive to both first-time buyers and investors.
• Median home prices in San Antonio are well below those in Austin and Houston, making it one of the most affordable major metros in Texas.
3. Slower Home Price Growth
• Unlike some parts of the country where home prices continue to surge, San Antonio’s price growth has stabilized.
• With more homes available, bidding wars have decreased, giving buyers more room to negotiate.

What Does This Mean for Buyers and Sellers?

For Buyers: Now is the Time to Act

• With higher inventory and longer days on the market, buyers have more choices and less pressure to rush into a deal.
• Sellers are more willing to negotiate, offering price reductions, closing cost credits, and other incentives.
• New construction homes are offering attractive discounts and financing incentives, making them a strong option.

For Sellers: Adjust Expectations

• Pricing competitively is crucial—homes that are overpriced are likely to sit on the market.
• Making repairs and staging your home can make a difference in standing out to buyers.
• Consider offering incentives such as rate buy-downs or covering closing costs to attract more interest.

Final Thoughts

San Antonio’s housing market in 2025 is a rare opportunity for buyers, with more inventory and longer days on the market compared to much of the nation. While home prices remain relatively stable, buyers can take advantage of less competition and increased negotiating power.

If you’re a buyer looking for a home in San Antonio, now is the time to explore your options and take advantage of this shift. If you’re a seller, it’s essential to price strategically and offer incentives to attract buyers in this more competitive environment.

Whether you’re buying or selling, working with an experienced local real estate professional will help you navigate San Antonio’s evolving market and make the most informed decisions.

Are you thinking of buying or selling in San Antonio?

Reach out today to discuss your options and navigate this changing market with confidence! 🚪🏡✨

Kristen Smith, Realtor San Antonio's best Realtor