The housing market in 2025 is showing signs of improvement for buyers. Realtor.com’s June report indicates more homes are on the market, with over 1 million listings in June. Price reductions are at a high, with listings staying on the market longer. Mortgage lending standards are loosening, with rates below 7%.

New home construction is up, but the U.S. housing shortage remains at 4.7 million units. A Zillow economist notes that while construction is helping, the gap is not closing. Consider expanding your search to more affordable areas.

Credit score and debt-to-income ratio are crucial for qualifying for a mortgage. Conventional loans require a FICO score of 620 or better. FHA loans can accept a score as low as 580. Having emergency savings and a down payment is essential. Shop around for the best loan offers and rates.

Timing the housing market based on economic factors like recessions can be challenging. Advocates suggest buying now if financially ready, as rates may not drop substantially later for a refinance. Lock in a mortgage rate and focus on growing equity over time.

As income and savings grow, homes become more affordable. Buying the first home may be a stretch, but as time passes, it becomes less of a burden. Growing home equity builds net worth over time.

Read more at Yahoo Finance: Is it a good time to buy a house?