As of October 2025, the global housing market shows signs of recovery, but the picture varies across regions. While some countries experience modest price increases and increased sales, others face economic and geopolitical challenges. Curious about what this means for buyers, investors, and homeowners? Below, we explore the key questions about the housing market's current state and future outlook.
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Are housing markets recovering after recent declines?
Yes, in many regions, housing markets are showing signs of recovery. For example, the UK has seen a modest 1.3% annual increase in house prices, with regional disparities. In the US, mortgage rates have slightly increased after summer declines, and new home sales surged by over 20% in August, indicating renewed activity. However, recovery levels vary depending on local economic conditions and policies.
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Which countries or regions are leading the housing recovery?
Canada is experiencing a gradual recovery following recent rate cuts, with slower sales amid economic uncertainties. The US is also seeing positive signs with increased home sales and refinancing activity. Meanwhile, Israel faces a modest correction due to economic and geopolitical factors. Overall, North America appears to be leading the recovery, while other regions are more cautious.
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What factors are driving the housing market in 2025?
Several factors are influencing the housing market this year. These include changes in mortgage rates, economic policies like rate cuts in Canada, and regional disparities. In the US, improved affordability and increased refinancing are boosting sales. Political stability and economic growth also play roles, while geopolitical tensions in some areas can slow down recovery efforts.
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Should buyers or investors act now or wait?
Deciding whether to buy or invest now depends on your local market conditions and personal circumstances. With signs of recovery, some regions offer opportunities for buyers and investors, especially if prices are still relatively low. However, caution is advised in areas facing economic or geopolitical uncertainties. Consulting local experts can help determine the best timing for your investment.
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How do regional disparities affect the housing market outlook?
Regional disparities significantly impact the overall housing market outlook. For instance, the UK experiences a north-south price divide, with some areas seeing steadier growth than others. In Israel, geopolitical tensions influence prices and sales volumes. These disparities mean that recovery is uneven, and local market conditions should be carefully considered when making decisions.