2025 is shaping up to be a year of renewed momentum in real estate: despite elevated mortgage rates and home prices, demand is rebounding—and some markets are emerging as standouts amid these new dynamics.
Construction Coverage’s latest analysis identifies the hottest real estate markets of 2025, utilizing a composite score based on key indicators from Redfin.
Key Takeaways, With Data for New York State
- Home sale prices are rising again: During the pandemic, home values soared, with year-over-year price growth peaking at 26.1% in May 2021. Sale prices slowed in 2022, and actually declined in 2023. But by the end of 2024, home prices were 6.3% higher than the year prior—a pace more in line with historical norms.
- Home sales volume is ramping up as well: By December 2024, home sales were up 10.8% compared to one year prior, which is the strongest annual growth since mid-2021.
- New York State in the rankings: New York State ranks 10th out of all 50 states in the “Hottest Real Estate Markets of 2025” report.
|
City |
Rank |
Composite score |
Median sale price (Dec 2024) |
1-year change in median sale price |
Share of homes that sold above asking |
Median number of days on the market |
Average sale-to-list percentage |
Share of listings with price drops |
|---|---|---|---|---|---|---|---|---|
|
New York State |
10 |
71.4 |
$534,800 |
+5.8% |
41.9% |
37.5 |
101.3% |
20.3% |
|
United States |
- |
N/A |
$427,523 |
+6.3% |
30.0% |
39.2 |
99.2% |
17.1% |
The full report analyzes real estate market conditions in over 600 U.S. cities and all 50 states.