Head of billion-dollar brokerage firm gives his view of real estate market in 2025

Published On Dec 20, 2024, 6:00 AM

Mauricio Umansky, CEO of a leading real estate brokerage firm, predicts a strong resurgence in the U.S. real estate market in 2025. After a period of stagnation, he believes there will be more home listings and sales due to an expected drop in interest rates and increased inventory. Despite lingering uncertainties, the overall sentiment is turning positive, indicating a forthcoming rise in transaction volumes. Buyers are now actively seeking value, particularly in the luxury market, where price negotiations are shifting, favoring the buyers.

Stock Forecasts

With the anticipated resurgence in listings and potential lower interest rates, investment in real estate-related stocks could benefit. Companies involved in real estate transactions or financing may see growth as market activity increases.

As the demand for real estate recovers, the stock of real estate investment trusts (REITs), particularly those focused on luxury properties, could see upward pressure on prices. Investors may look to capitalize on improved market conditions.

However, potential volatility remains as economic factors could influence rate changes. This uncertainty may affect funds that focus on real estate more broadly, possibly impacting their performance in the near term.

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