How to Leverage the 2025 Market Shift as We Move Into 2026: What Every Real Estate Professional and Investor Must Know
With 11 years of experience in the real-estate industry, I’ve seen markets swing, clients shift strategies, and opportunities evolve. As a broker in South L.A. County and Long Beach, I’ve witnessed the local implications of broader national trends—and I want to share them with you, whether you’re a fellow real-estate professional or a current/future client.
Today, we’re entering a pivotal moment in the U.S. housing market. Trends that were once on the fringe are now moving toward the mainstream, meaning that smart agents, investors, and homeowners who stay ahead will win.
Here’s what’s happening — and here’s how you can act.
1. The Market Is Shifting Toward Balance (and Buyer Leverage)
After years of a strong seller’s market, the pendulum is beginning to swing. According to Realtor.com data, inventory rose 28.9 % year-over-year in June 2025, hitting over one million active listings. Homes are also staying on the market longer—median days on market reached 62 in September, up from prior years.
For professionals: this means your seller clients must adjust expectations: longer sell times, more negotiation, and perhaps price flexibility. For buyers/investors: this shift signals opportunity—less competition, more leverage, better deals.
2. Elevated Rates + Slowing Price Growth = A New Reality
Mortgage rates remain elevated. For example, a forecast from J.P Morgan Research shows home-prices may rise only ~3 % in 2025 under these rate conditions. Meanwhile, national reports show home‐sales may fall to new 30-year lows as affordability tightens.
What this means for you:
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Sellers: Don’t count on double-digit appreciation anymore. Value your homes realistically and set marketing that reflects more time on market.
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Buyers/investors: This is the time to plan — slower appreciation doesn’t mean no appreciation. It means you need to hone your strategy (location, value-add, cash flow).
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Agents: Shift your messaging: instead of “sell now before waiting,” consider “strategize now for when rates shift or market balance changes.”
3. Tech, Data & Differentiation Matter More Than Ever
In this evolving market, what will separate top agents/investors from average ones is how they use technology, data, and brand. According to industry commentary, 2025 trends include AI-driven client interactions, smart home and sustainable property features, and secondary/tertiary markets gaining more attention.
For your business (and mine) here in South L.A. County & Long Beach:
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Invest in data tools (lead scoring, market analytics) to target the right sellers and buyers (especially repositioning sellers/investors).
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Educate clients on “smart home features” and “sustainability” as value drivers (e.g., EV chargers, energy efficiency) because those are increasingly moving from “nicety” to “expectation”.
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Position your brand as a strategic partner—not just a listing agent. With your 11 years’ experience, your value is insight, not just transaction.
4. The Investor & Management Opportunity Is Big Right Now
As you know, I’m pivoting part of my business toward acquisitions, SB9 strategies, and management—they are timely for this market. Here’s why:
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With more inventory and slower appreciation, value-add plays become more attractive (rather than play for pure appreciation).
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Balanced markets favor wise investors: less bidding wars, more time to perform due diligence.
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Renters are still under pressure (with homeownership becoming harder), so well-managed rental properties can produce steady returns.
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Legislation like ADU expansion, lot splits, and zoning changes are creating new opportunities (especially in California).
For other brokers/investors reading this: if you’re not already building or joining a property-management or acquisition arm, now’s a good time. For clients: if you’re an investor or an owner looking for value, let’s talk about how these market conditions can work for you.
5. What This Means for Homeowners & Sellers in Long Beach/South LA County
If you’re a homeowner or future seller in our region:
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Check your purpose. Are you selling because you need to, because you want to, or because the market is “hot”? The “hot” tag is cooling somewhat.
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Price realistically. With more inventory and longer time on market, overpricing will penalize you more now.
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Consider your marketing and timeframe. Extended listing durations mean you want a strong plan (digital marketing, staging, smart pricing).
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If you’re holding, this could be a moment to optimize your asset: upgrade for energy efficiency, add an ADU, prep for future demand.
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If you’re buying, this could be a good time to lock a property that makes sense. With pricing stable and rates still higher, the right deals might exist now for the right buyer.
6. Your Action Plan (5-Step)
For real-estate professionals:
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Audit your lead pipeline: focus on sellers who must move, investors looking to reposition, and buyers ready for value.
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Update your listing presentation: include market-shift data (inventory, days on market, price cut %).
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Invest in data/tech tools (CRM enhancements, predictive analytics).
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Refresh your brand message: “Strategic, Insight‐Driven, Value‐Focused” rather than “fast sell.”
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Build your investor/management knowledge: prepare yourself to service acquisitions + property management.
For clients (homeowners or investors):
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Define your objective clearly: Are you selling? Holding? Buying? Why now?
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Get an updated market analysis of your property (or target area).
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If selling: ensure your pricing and marketing align with a balanced/leaning-buyer market.
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If buying/investing: focus on cash flow, quality, location, and hold strategy—not just appreciation.
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Ask your agent (me!) tough questions: What is the average days on market? What percentage of listings have had price cuts? How is inventory trending in our sub-market?
Closing Thoughts
We’re not in the “sky-high growth” boom of 2021-22 anymore. That’s okay. A more stable, balanced market is frankly healthier for long-term value and sustainable investing. With strategic positioning, the professionals who understand this transition will help their clients win—and the clients who recognize it will profit.
If you’re in Long Beach or South Los Angeles County and want to discuss how these trends apply locally to your property, your portfolio, or your business strategy—I’m ready when you are.
Here’s to a thriving end to 2025 by being smart, proactive, and value-driven.
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