Massachusetts Housing Market Update: What to Expect in 2025

The Massachusetts housing market continues to be one of the most competitive in the nation. Here's what buyers and homeowners should know in 2025.

Current Market Conditions

As of October 2025, Massachusetts faces a persistent housing shortage, with inventory remaining below pre-pandemic levels. This supply-demand imbalance continues to put upward pressure on prices.

Key Statistics

  • Median Home Price: $600,000 (statewide average)
  • Greater Boston: $750,000+
  • Western MA: $350,000-$450,000
  • Days on Market: 20-30 days average
  • Inventory: 2-3 months supply (low)

Mortgage Rate Trends

Mortgage rates have stabilized in the 6-7% range for 30-year fixed loans. Massachusetts credit unions continue to offer rates 0.25-0.5% below national averages. Check our current rates for the latest offers.

Regional Variations

Greater Boston: Most competitive, multiple offers common, prices highest
North Shore: Strong demand, good schools drive prices
South Shore: More affordable than Boston, growing rapidly
Central MA: Moderate prices, steady appreciation
Western MA: Most affordable, slower appreciation

Predictions for 2025

  • Modest price appreciation (3-5%)
  • Inventory will remain tight
  • Mortgage rates expected to gradually decline
  • First-time buyers will continue to face challenges
  • Suburban markets remain strong

Advice for Buyers

  • Get pre-approved before house hunting
  • Be prepared to act quickly
  • Consider credit union mortgages for better rates
  • Look at emerging neighborhoods for better value
  • Use our affordability calculator to set realistic expectations

Advice for Sellers

  • Price competitively but don't undervalue
  • Homes are still selling quickly if priced right
  • Quality photos and staging matter
  • Be ready to move if selling and buying

Ready to buy or refinance? Compare Massachusetts credit union mortgage rates to find the best deal.

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