Helping Agents Lead in the Spring Market

WASHINGTON — Many real estate professionals were glad to put 2024 behind them. High interest rates, practice changes and the relative uncertainty that nearly always accompanies an election year meant the industry had to pivot and adapt, often several times. As the calendar finally flipped to 2025, agents and brokers exhaled, hoping lower interest rates, an uptick in inventory and better sales were on the horizon.

Some positives so far in 2025 include the fact that mortgage rates have fallen for several straight weeks and that the new administration has recently confirmed Lori Chavez-DeRemer as Secretary of Labor, who NAR believes should be a good partner for the real estate industry as her background proves she understands the complex issues that many are facing right now in business and in daily life, which trickle directly into their housing decisions.

Still, many agents might have reservations about the current market or feel uncertainty about how their business will perform this year. In a moment where the market is shifting once again, brokers are uniquely positioned to proactively support their agents so they can effectively serve their clients.

As always in our business, the agents that are most successful do so regardless of market conditions, possessing an unwavering focus on providing their clients with top-tier guidance. Brokers need to provide those agents with the best information, insights, and direction so they can do their job successfully.

Today we are on the cusp of the spring market, which in most parts of the country is the busiest season, achieving the highest prices of the year. For agents working with hesitant who are on the fence about listing, explaining the value of getting ahead of the spring market could help those sellers make an informed decision.

Explain the favorable dynamics of the spring market

Many consumers – and agents as well – have no idea why the dynamics of the spring market are typically favorable for sellers. It is incumbent on brokers to explain to their agents what drives the spring market. This helps their agents differentiate themselves when communicating with clients, prospects, and, crucially, with homeowners during listing presentations.

The law of supply and demand

Agents need to be able to clearly communicate that real estate prices – like all prices, for everything sold on a free market – are fundamentally determined by the universal law of supply and demand. It is this incontrovertible force which accounts for the strong spring market most years.

In most markets in the United States, early January is usually when we see the lowest levels of inventory of the year.  But a few weeks into the new year – often by mid-January, or in some years, just after Superbowl Sunday – we’ll see a notable uptick in buyer activity. There are many buyers who might have started their search in the fall market and are ready to resume after the holidays. But, it’s typical that the number of buyers exceeds the number of homes on the market.

This natural imbalance of supply and demand, which is exacerbated by the supply shortage that the industry has been up against for years, is what leads to shorter days on market and rising prices for most of the spring season. 

Why sellers should list early

However, my experience has been that the earlier part of the spring market is often stronger than later spring.  Every month, more houses come onto the market that sell – and spring sellers will typically keep their homes on the market at least until summer.  This means that every month of spring, there are more homes available for purchase than the month prior – yet by mid-April, the bulk of the buyers are already out looking, and the market will frequently have hit peak demand for the entire year.

My guess is that the early part of the spring market is busier in most markets. Brokers need to assess the spring season in their markets to determine this, and then relay to their agents that clients need this information as well.

What an uptick in inventory means for sellers

Of course, no two years are quite the same – and already, 2025 is shaping up to be notably different than 2024. New listings coming onto the market were up by double digits versus the same period a year ago. In some markets, new listings are up sharply so far this year, surging by 40-50% year-over-year.

For agents and sellers, this increase in inventory provides a challenge when it comes to getting buyers through the door, and it’s one that brokers need to prepare agents to meet. This is especially important because it is more than likely that we’ll continue to see supply increases well above levels seen in at least the past several years.

Agents and sellers have the idea that spring is always a favorable market for sellers. But there’s nothing magic about spring; there is only the law of supply and demand that drives prices. Brokers should make sure agents understand what increased inventory means for days on market so that they can help seller clients get ahead of the market.

If agents can educate their sellers, sharing the market data and a choice anecdote or two from their own experience (or from their brokers, for newer agents with few stories to tell), they will be of tremendous service to their clients. Astute agents will help sellers to see the wisdom of getting their homes on the market sooner than later to best position themselves for a successful sale.

© 2025 National Association of Realtors® (NAR)