ATTOM, which describes itself as a leading curator of land, property data, and real estate analytics, published its full-year review of the 2025 housing market on Jan. 29. And it painted a mixed picture for both current and prospective homeowners.
Home Prices up but Profits Down
Owners sold 3.9 million homes last year at a median home price of $360,000, a record. That was a year-over-year rise of 2.6%, but 39% higher than in 2020.
On average, each homeowner made a gross profit of $118,710, representing a 49% return on investment. However, that return was lower than in recent years.
In 2024, for example, the average gross profit was $124,500, providing a profit margin of 55%. And, in 2022, the same figures were $126,000 and 62%, respectively, according to an ATTOM chart.
So, as many homeowners may have sensed without any hard data, 2025 was an OK year for them rather than a banner one.
"Home prices kept climbing in 2025 even as affordability challenges intensified for households across the country," said Rob Barber, CEO of ATTOM, perhaps thinking of rising homeowners insurance and property taxes. "While sellers continued to command record prices, profit margins have been declining for three consecutive years since peaking in 2022, suggesting the market may be gradually normalizing after a period of
strong returns."
Regional Variations
As with all national housing data, there are significant variations within different states, counties, cities, and even neighborhoods. For example, home prices didn't rise at all in 2025 in nearly 20% of the 133 metropolitan statistical areas that ATTOM analyzed. There, those prices either fell or held steady.
Of course, that means some metros beat the average; that's how averages work.
ATTOM identifies the best-performing metros of the year:
- Birmingham, AL — Median sales price up 12.9%
- Syracuse, NY — Up 11.6%
- Toledo, OH — Up 10.4%
- Rochester, NY — Up 10.3%
- Dayton, OH — Up 10.3%
And here are 2025's worst-performing metros:
- North Port, FL — Median sales price down 9%
- Deltona, FL — Down 5.4%
- Stockton, CA —Down 4.7%
- Huntsville, AL — Down 4.1%
- Cape Coral, FL — Down 3.9%
Institutional Investors
The percentage of sold homes bought by institutional investors held steady in 2025 at 6.6%. ATTOM defines such institutions as non-lending entities that purchased at least 10 residential properties in a calendar year.
As with home prices, there are wide variations by region:
- Tennessee and Texas — 9.2% of all sales
- Missouri — 9.1%
- Indiana — 9%
- Georgia, Alabama, and Oklahoma — 8.8%
Owners Staying Put for Longer
As a nationwide average, homeowners who sold in the fourth quarter of 2025 had remained in their homes for longer than previously. The average tenure for those sellers was 8.55 years, longer than the 8.33 years seen in the previous quarter and the 8.05 years recorded at the same time in 2024.
Again, there are sharp regional variations in how long owners keep their homes. However, the top five markets for longevity were all in the Northeast:
- Barnstable, MA — 14.12 years
- Springfield, MA — 13.49 years
- New Haven, CT — 13.37 years
- Bridgeport, CT — 13.2 years
- Hartford, CT — 13.15 years
All-Cash Sales Still Rising
"Mortgage rates dropped steadily throughout 2025, but the share of homes purchased with all cash continued to climb to 39.1 percent, the highest it has been since 2013, albeit only a slight increase over the 39 percent share posted in 2024," says ATTOM in a news release.
That may be less surprising than some would think. "According to the latest edition of NAR’s Profile of Home Buyers and Sellers, today’s housing market is being shaped by older, more experienced buyers than ever before, says the National Association of Realtors®. "The median age of repeat buyers has climbed to a record high of 62, a notable shift from the 1980s, when the typical first-time seller was in their mid-thirties. In fact, nearly half (49%) of all buyers in 2025 were over 60."
Long-term homeowners in their 60s are more likely than younger people to have built up equity and other assets that allow them to choose to be all-cash buyers.
