Are you a renter considering buying a home? The latest rental report from August 2025 shows a significant trend of declining rents, and this could be the perfect time to make your move into homeownership.
Here’s a breakdown of the key highlights and what they mean for you:
- Rents are down, and renters are on the move. August 2025 marked the 25th consecutive month of year-over-year rent declines for 0-2 bedroom properties, with asking rents decreasing by 2.2% annually. This trend has led to a rebound in renter mobility in 2023 and 2024. With rents declining for more than two years, renters have a greater incentive to move.
- Renters are optimistic about homeownership. Nearly 60% of renters surveyed plan to buy a home. Of those who plan to buy, over half expect to do so within the next one to two years.
- The path to homeownership has common hurdles. The primary reasons people rent instead of buy are insufficient savings for a down payment, limited affordable inventory, and low credit scores.
- Housing prices have outpaced rent. While the U.S. median rent is still 17% higher than it was pre-pandemic in August 2019, the median price per square foot for for-sale home listings increased by 51.3% in the six years ending in August 2025. This significant increase in home prices highlights the potential for long-term equity growth for homeowners.
- Rent is becoming less affordable. Despite the recent year-over-year declines, the median asking rent in August 2025 was still $249 (17%) higher than the pre-pandemic level.
Reminder = there multiple Conventional loan options that allow a 3% Down Payment, some have a first-time homebuyer requirement, others do not!
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As a Mortgage Banker, I can help you navigate the current market and understand your options for transitioning from renting to owning.
Contact Sal Trapani at MJ Mortgage LLC today!
- Cell: 281-608-2846
- Email: sal@mjmortgagellc.com
- Website: www.mjmortgagellc.com
- Address: 33130 Magnolia Cir, Magnolia, TX 77354
- NMLS: 1055510 / 2381195
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