Housing Experts Project Another Year of Modest Growth for U.S. Condominiums and Homeowners Associations in 2025

The 2025 housing market is expected to see improvements in inventory, home sales, and prices, alongside more stable mortgage rates. However, experts caution that domestic and international factors may introduce volatility. Despite this, the community association housing market is projected to remain a preferred choice for buyers, whether seeking a new or existing home.

Key Trends to Watch*

Key housing trends to watch in 2025 include:

• Rising Inventory: Housing experts predict a robust 11.7% growth in housing inventory, driven by new construction and more homeowners listing their properties.
• Home Sales Recovery: After a challenging period that saw home sales hit a 15-year low, experts anticipate a rebound in 2025.
• Moderate Price Increases: Home prices are expected to grow at a slower pace, with annual increases likely around 2%.
• Stable Mortgage Rates: Mortgage rates are projected to stabilize, with experts forecasting a potential decline to 6% in 2025.
• Increased Housing Starts: Construction activity is set to approach the historical average of 1.5 million units annually, though inventory levels will likely remain below pre-pandemic norms.

The Foundation’s U.S. National and State Statistical Review for Community Association Data estimates the total number of U.S. community associations will grow from 369,000 to as many as 373,000 in the coming year.

Stability in the Community Association Market

Despite potential turbulence in the broader housing market, community associations continue to attract buyers due to their strong sense of community, shared amenities, and governance structures. Whether you’re considering a newly constructed property or an existing home, these communities remain a reliable option in an evolving market.

Stay informed on housing market trends and community association developments throughout 2025.

Community Association Living

Since the 1970s, community associations have been a popular housing choice for people around the world—especially for condominium buyers seeking proximity to city centers, public transportation, and schools. Planned communities also give local municipalities the ability to transfer the obligation of providing services such as trash and recycling pickup, snow removal, sidewalk and street maintenance and lighting, stormwater management, and more to homeowners.

The 2024 Homeowner Satisfaction Survey, a biennial, nationwide report conducted by Zogby Analytics on behalf of the Foundation, provides a better understanding of condominium and homeowners associations. Homeowners say the following about their community association living experience:

• 86% rate their overall experience as very good or good (60%) or neutral (26%).
• 82% say members of their elected governing board “absolutely” or “for the most part” serve in the best interests of their community.
• 72% say their community manager provides value and support to residents and their association.
• 87% say their association’s rules protect and enhance property values (63%) or have a neutral effect (25%); only 7% say the rules harm property values.

For more community association statistics, visit the Community Association Fact Book.

*Sources

[1] https://www.nar.realtor/magazine/real-estate-news/more-home-buyers-expect-rosier-2025-housing-outlook
[2] https://www.nar.realtor/research-and-statistics/research-reports/housing-hot-spots
[3] https://finance.yahoo.com/news/nvar-predicts-2025-northern-virginia-151500946.html
[4] https://www.rate.com/resources/2025-housing-preview
[5] https://www.housingwire.com/articles/top-10-housing-markets-2025/