Year-over-Year (YoY) Market Snapshot

The average sold price of existing homes in BG/WC in 2025 increased to $356,349 at the end of December from $342,029 (4.2%) in 2024.  Existing homes also stayed on the market longer throughout the year, with many sellers making price adjustments before selling or withdrawing from the market.  But by the end of December, there was only a slight increase in average 79 Days On the Market (DOM) from 74 days in 2024.  Considering Realtor. Com reported in their December 2025 Monthly Housing Trends Report the national median list price was $400,000, down 0.6% year-over-year (YoY) and 3.6% from the prior month, home buyers and sellers fared better in BG/WC in 2025. (KWFCR BG/WC TMO Reports, 2024 and 2025)

A Mix of Challenges and Opportunities

Nationally, the real estate market experienced a mix of challenges and opportunities in 2025:

• Home Prices: Overall, home prices stabilized after several years of rapid growth, giving buyers more room to negotiate.
• Interest Rates: Mortgage rates did decrease but remained mid 6% for most of the year, which impacted affordability and slowed some buyers’ plans.
• Inventory: The market experienced low to moderate inventory, meaning accurately priced homes still sold quickly, especially in desirable neighborhoods.

Lessons for Buyers and Sellers

I work with buyers and sellers and get to see trends from both sides of the transaction.  Here are the lessons local buyers and sellers learned in 2025…

Biggest Lessons for Buyers

• Long-Term Value is Worth the Effort. Buyers that focused on long-term value, location, and condition instead of chasing “hot” listings or cosmetics had more confidence about their future when they reached the closing table.
• Sellers Expect Pre-Approval and Verification of Funds.  Buyers who were well prepared and provided letters verifying pre-approval or cash funds when submitting offers earned more credibility with sellers.
• Market Knowledge is Power.  Even experienced buyers need accurate local market data and guidance on a process that has changed quite a bit in the last two plus years.  Working with an experienced and dedicated Buyer’s Agent was measurable at closing.
• Buyer’s Agent Agreements (BAA) Are Required Before Realtors® Can Show Property.  Open House settings aside, Realtors® – including listing agents – must complete a Buyer’s Agent Agreement (BAA) before they can show property to a buyer.  Unrepresented buyers who entered a BAA with a listing agent often committed to paying commission at closing if they made an offer on that property.  The time to enter a BAA to work with a Buyer’s Agent is before touring property.  Not after.  

Biggest Lessons for Sellers

• Accurate Pricing Drives Interest and Value.  Competitive pricing attracted serious buyers and stronger offers quickly.  Overpriced homes sat on the market longer and competed against new listings over time.
• Preparation and Presentation Matter.  Staging and professional photos made a full comeback and were essential for attracting buyers. Sellers who chose not to make the effort at the beginning lost out on showings and paid for it at the closing table.
• Accessibility Can Make or Break Buyer Interest.  Sellers who made it easy to schedule and complete showings brought more interested buyers to their property. Those that didn’t saw motivated buyers quickly move on to other homes with few if any rescheduling later.
• Negotiations Are Officially Back. Inspections, credits, and seller concessions became common again early on.  For many, waiting for a buyer who wouldn’t request any meant more time and expense on the market.

Looking Ahead in 2026

From every angle, industry leaders project 2026 will offer buyers increasing leverage with cooling prices and the potential increase in inventory as a result. And while the hope for lower mortgage interest rates continues, no major decrease is expected.

But some things won’t change. Sellers who prepare their homes well and price strategically will still see strong results no matter the market. Relying on listing agents who provide realistic comparable properties and timely market analysis will be key. Those selling in less than five years of ownership and at higher price points in particular. And buyers who partner with a dedicated Buyer’s Agent will have a good understanding and confidence of representation, the market, the process and negotiations.

Bottom Line

National trends are important and do impact our local market.  Inflation, for example, remains a concern and a hurdle for buyer affordability.

Locally, our housing inventory has been slower than most of us would like but remained stable at just under 5 months since July.  January is a reset month for sellers in particular, so time will tell what sellers decide to do.  But today, sellers are starting out the new year with solid interest in their properties and buyers can expect to negotiate again. 

So the question as to whether you should or shouldn’t list or buy – or both – in 2026 is specific to your specific needs and timing.  And the only way to find out is to start the conversation early so you have time to develop a realistic plan.  Either way, working with an experienced Realtor® who stays on top of local market data and is willing to put it to work for you is by far your best strategy.

You can reach me at dawnlong@sckyrealestate.com or Call/Text: 270-791-4072.   I’d love the opportunity to put my experience, market expertise, and dedication to work for you in 2026!

Realtor® / Real Estate Consultant

GRI, SRS, ABR, MRP, AHWD

Keller Williams First Choice Realty

1550 Westen St

Bowling Green, KY 42104