The year coming to a close has been another momentous one for the real estate industry, for our REALTOR members at EMTAR (both agents and brokers), for homebuyers and sellers, for private-property owners, and for our Eastern Middle Tennessee communities. Here are a few of the many highlights from 2025 . . .

Strong Leadership, Professional Progress

EMTAR was once again blessed with outstanding volunteer leadership. Our board of directors set its sights on continuing to encourage learning, growth, and progress among their fellow REALTOR members, embodying our Association’s commitment to serve as “your partner in success.”

We want to thank all of our volunteer leaders, led by 2025 President Gina Waters; the board members who just completed three-year terms and rotated off: Stephanie Bentley-Wright, Kaileigh Dunn, Medana Hemontolor, and Chris Long; Rachel Mullins Harrell, our newly elected 2026 First Vice President; and the members who will continue their service in 2026: Phyllis Webb, 2026 President-elect; along with Jon Brown, Lauren LaFevers-Flatt, Angela Knee, Janet Medlin, Michael "Woody" Woodard, Traci Johnson Ardovino, Samantha Hickey, and Sigrun Watson.

In 2026, we will continue to be in good hands (look for more specific plans for the year in our next blog), with President Michael Ezsol leading the way. We also want to welcome the four newly installed members who will serve from January 2026 through December 2029: Lena Boyd, Katie Herndon, Shaun Smith, and Lanee Young.

Thanks to the board and to many others who took time to volunteer and engage in EMTAR activities in 2025, we were able to:

— Continue hosting in our EMTAR training center (and via Zoom) a full menu of continuing education (CE) courses to help members fulfill their licensure requirements, and a number of other classes and sessions targeted to professional growth, all led by seasoned, expert real estate instructors.

— Celebrate the success of our members through the annual 2025 Elevating to Excellence with EMTAR awards gala.

— Foster networking opportunities throughout the year with enriching member luncheons featuring knowledgeable guests speakers, mixers, and more.

— Champion legislative and regulatory advocacy in real estate at the local, state, and national levels. (For much more about this, visit our recent blog here.)

— Give back to our community through events including our Casa de Moda fashion show.

— . . . and much more!

Now, let’s pivot toward some of the high points of the real estate industry overall . . .

2025 Market Highlights: What REALTORS, Buyers, and Sellers Learned This Year

For starters, here are a few recent articles that shine light on the year that was:

Best Real Estate Agent Recap Posts of 2025

Income Steady, Even as Market Slows: 2025 Member Trends

2025 Real Estate Review & 2026 Outlook: A Year of Transformation and Promise

What 2025 Taught Real Estate Agents, Strategies for 2026 Goal Planning

Pending Home Sales Surge to Nearly 3-Year High

In sum, the real estate market in 2025 didn’t deliver dramatic boom-or-bust headlines—but that’s exactly what made it such an important year.

Instead of extremes, 2025 was defined by adjustment, recalibration, and realism. Buyers, sellers, and real estate professionals alike were forced to adapt to a market shaped by higher interest rates, improving inventory, and more balanced negotiations.

For REALTORS and brokers, success in 2025 came less from riding momentum and more from strategy, education, and skill.

Here’s a look at the major real estate highlights of 2025—and what they meant for agents, home buyers, and sellers.

Mortgage Rates & Affordability: The New Normal Sets In

Mortgage rates remained elevated throughout most of 2025, generally hovering in the mid-6% range. While rates were lower than recent peaks, they were still high enough to significantly impact affordability.

For buyers, this meant:

• Monthly payments mattered more than list prices
• Many buyers became highly rate-sensitive
• Small rate dips triggered brief surges in showing activity

For sellers, the impact was clear:

• The buyer pool narrowed
• Pricing accuracy became critical
• Overpricing was punished quickly by the market

For REALTORS, 2025 reinforced the importance of:

• Explaining payment-based affordability, not just purchase price
• Helping buyers understand refinance strategies
• Setting realistic expectations with sellers from day one

Inventory Finally Rose—And So Did Buyer Leverage

One of the biggest shifts of 2025 was the gradual rise in housing inventory across many markets.

While inventory levels didn’t return to pre-pandemic norms everywhere, buyers finally had:

• More choices
• Less urgency
• Greater negotiating power

As a result:

• Homes took longer to sell
• Price reductions became more common
• Sellers needed stronger preparation and presentation

For REALTORS, this was a return to fundamentals:

• Professional pricing strategies mattered again
• Staging, photography, and marketing made a measurable difference
• Communication and follow-up separated top agents from the rest

Home Sales Activity: Slow, Uneven, and Seasonal

Home sales in 2025 were uneven.

• Early and mid-year activity was sluggish in many markets
• Buyer hesitation remained high due to rates and economic uncertainty
• Late-year improvements appeared when rates dipped and inventory improved

Notably:

• Entry-level and “starter” homes performed better than higher price tiers
• Move-up buyers remained cautious
• Cash and equity-rich buyers had a competitive advantage

For agents, patience and pipeline management were essential. Deals took longer, and consistent prospecting mattered more than ever.

Home Prices: Stability Over Speed

Unlike previous years, price growth in 2025 was modest.

Many markets experienced:

• Flat or slightly rising prices
• Fewer bidding wars
• Increased sensitivity to condition and location

Sellers who priced based on:

• 2021–2022 expectations struggled
• Emotion rather than data often chased the market downward

REALTORS played a critical role as market interpreters—using comps, absorption rates, and local trends to guide pricing decisions with clarity and confidence.

Buyers and Sellers Changed—And So Did Their Expectations

Demographic trends continued to evolve in 2025:

• Buyers skewed older on average
• Millennials remained active but more cautious
• Many sellers delayed moving unless absolutely necessary

Motivations also shifted:

• Lifestyle and flexibility mattered more than speculation
• Buyers asked more questions and expected detailed answers
• Sellers expected agents to justify their pricing and strategy

This raised the bar for REALTORS:

• Market knowledge was no longer optional
• Education became a core part of the value proposition
• Trust and transparency drove referrals

Technology Became a Requirement, Not a Bonus

In 2025, technology wasn’t about novelty—it was about efficiency and clarity.

Agents increasingly relied on:

• AI-assisted marketing and content tools
• Enhanced CRM systems
• Virtual tours and digital listing experiences
• Social media for brand visibility and lead nurturing

Consumers expected:

• Faster responses
• Better online presentation
• Clear, data-driven explanations

The most successful agents used technology to support relationships, not replace them.

Strategic Shifts: Rent vs. Sell, Stay vs. Move

A notable trend in 2025 was the rise in homeowners choosing to:

• Rent out properties instead of selling
• Stay put due to favorable existing mortgage rates
• Delay moves until affordability improved

This “rate lock-in” effect limited inventory growth and required REALTORS to expand their advisory role—often discussing long-term financial scenarios rather than just transactions.

Negotiation Skills Took Center Stage Again

With a more balanced market, negotiation returned as a core Realtor skill.

Successful deals often depended on:

• Creative concessions
• Closing cost strategies
• Repair negotiations
• Realistic timelines

For buyers, skilled representation saved money.
For sellers, strong negotiation preserved value.
For agents, this was where expertise truly showed.

That’s a lot, we know! It was not a boring year, both here in Eastern Middle Tennessee and beyond.

Finally, let’s wrap up this post with some . . .

Key Takeaways for REALTORS from 2025

The biggest lessons from 2025 weren’t flashy—but they were powerful:

• Markets don’t always reward speed; they reward skill
• Education builds trust
• Pricing accuracy beats optimism
• Communication wins in uncertain conditions

REALTORS who adapted, learned, and stayed proactive didn’t just survive 2025—they strengthened their businesses.

Looking Ahead to the New Year

As the real estate industry moves into 2026, the lessons of 2025 will continue to shape the market. REALTOR members who understand these shifts—and can clearly explain them to clients—will remain indispensable.

In a market defined by adjustment, professional guidance will matter more than ever. And that’s where our EMTAR members come in.

Stay tuned for our next blog, featuring a look ahead to 2026 with EMTAR President Michael Ezsol.

In the meantime: Thanks again to all of our REALTOR members and leaders for what you mean to our Association, to your clients and firms, and to our communities. You make the places where we live, work, and play so much better.

Happy New Year to you and yours!

About EMTAR: Chartered in 1969, our Association’s 1,200+ REALTORS are a proud part of the 36,000+ members of Tennessee REALTORS and of the 1.5 million+ members of NAR, all working to serve the public and protect the rights of America’s property owners. EMTAR members are known not only for their unmatched real estate excellence and high ethical standards, but also for being generous, hospitable, others-focused, loyal, hardworking, and eager to help wherever and whenever help is needed.