The spring real estate market is traditionally a time of action – and 2025 was no exception. Home buyers and sellers were out in full force, and this season delivered a healthy dose of activity and opportunity across the Lynchburg area. But this year, the numbers tell an interesting story: while available inventory jumped significantly, total home sales saw a slight dip compared to May of last year. In May 2025, our market saw 753 homes listed for sale – up from 578 in May 2024 and just 359 in May 2023. However, the number of sold homes dipped to 311 this May, down from 347 last year. So, what gives?
Much of this could be attributed to economic uncertainty that’s been quietly influencing consumer confidence and mortgage rates. Interest rates have inched up by about 1/8 of a percent recently, bringing us closer to 7% rather than the mid-6% range we saw earlier this spring. While this minor uptick might seem small, it’s often enough to cause buyers to pause, crunch numbers and take a little bit more time.
But here’s the good news: home values have continued to rise. The average sales price in May 2025 hit $348,143, up nearly 10% from last year and a full 19.5% higher than in May 2023. For homeowners, that means equity gains and strong returns on investment. For buyers, it’s a reminder that real estate remains one of the most reliable paths to long-term wealth.
Whether you’re buying your first home or preparing to sell a longtime residence, working with a Realtor is more important than ever. Navigating today’s market takes expertise, local knowledge and professional insight – and that’s exactly what Realtors bring to the table.
So if you’re thinking about buying or selling, don’t wait for the perfect moment. Reach out to your trusted Realtor today and take the next step toward your real estate goals.
Billy Morris
2025 President of the Lynchburg Association of Realtors
Associate Broker John Stewart Walker inc.