Feb 2025 - Northeast Ohio Market Update

Brian Moran

Alright, to kick things off, here’s a little bit about me. I’ve been in the real estate game for over a decade now, working across Northeast Ohio. Whether it's first-time buyers, house flippers, or seasoned investors, I’ve helped a mix of clients navigate this constantly changing market.

Cassidy Closing

Wait, Northeast Ohio? So, you're Cleveland born and bred?

Brian Moran

You got it. Born and raised on the west side, actually! I graduated from St. Edward High School, and then went on to the University of Dayton and Baldwin Wallace University to round out my degrees in industrial engineering and an MBA.

Cassidy Closing

That’s an interesting combo. Industrial engineering to real estate—how does that connection happen?

Brian Moran

Yeah, I get that question a lot. It's really about strategy and problem-solving. Engineering gave me a framework for tackling complex challenges, and let me tell you, buying or selling a home brings plenty of those. The numbers, the negotiation, keeping up with tech trends—it aligns surprisingly well.

Cassidy Closing

I love that—total proof that this industry isn’t one-size-fits-all. So, you started in 2015?

Brian Moran

Right. And from there, I dove deep into residential real estate, focusing on this region. It’s my community, so staying local has been key for me. Year after year, I’ve been fortunate to earn multi-million-dollar producer recognition, but really that comes down to trust—helping people achieve their goals drives everything I do.

Cassidy Closing

You’ve definitely built a strong name here. I mean, I’m not surprised, though—you’ve got that perfect combo of data smarts and local know-how. Honestly, who wouldn’t trust you?

Brian Moran

Thanks for saying that. And honestly, that's one thing I pride myself on—transparency. Whether it's pricing strategy or breaking down market data, I’m all about making sure clients understand every step of the process.

Cassidy Closing

I’m already feeling like I’d hire you, Brian. Okay, okay, so let’s get into the big picture—because the 2025 housing market is… wild to say the least.

Brian Moran

You’re absolutely right. The 2025 housing market is a bit of a ride. Let’s start with where things stand right now. February saw a 4.9% drop in existing-home sales across the U.S., which is the first decline we’ve had since September. It’s not exactly shocking though, considering how elevated home prices and interest rates are squeezing a lot of potential buyers out of the market.

Cassidy Closing

Yeah, that makes sense. I mean, interest rates alone have kinda been a dealbreaker for so many people. But—wait—sales were still higher than this time last year, right?

Brian Moran

Exactly, up 2% year-over-year actually. It’s one of those interesting contradictions—buyer demand seems to be holding steady in some ways, but affordability is the real hurdle here. When prices just keep climbing, you know, it kind of limits who can actually stay in the market.

Cassidy Closing

It’s like this constant push and pull. Makes me wonder if there’s—uh—anything balancing out these high prices?

Brian Moran

Inventory could be that balancing factor—for now, at least. We’re seeing significant surges in homes available for sale. For Single Family homes, inventory is up 14.3% compared to last year. And Townhouses and Condos? A whopping 42.5% increase. I’d say that’s a pretty clear sign sellers are regaining some confidence, but it could also point to buyer interest cooling off slightly.

Cassidy Closing

Whoa, wait, 42.5%? That’s huge! So does that mean Townhouses and Condos are just, like, way more in demand now?

Brian Moran

It’s more nuanced than that. While Townhouses and Condos saw a 12.2% increase in new listings last month, Single Family homes actually dropped 11.4%. It’s less about one type replacing the other and more about shifting buyer priorities. Things like smaller footprints, shared amenities, or lower price points could be appealing in an environment where affordability’s under pressure.

Cassidy Closing

Right, so it’s less about a preference for the style of home and more about… adapting to the reality of what people can afford.

Brian Moran

Exactly. But those buyers who are adapting? They’re entering a very competitive space. Having more options doesn’t necessarily mean it’s smooth sailing in the market right now.

Brian Moran

Speaking of competitive spaces, let’s look at the big numbers driving the market right now. For February, the median sales price for Single Family homes hit $207,750, marking a 7.6% jump from last year. As for Townhouses and Condos? Pretty close behind at $200,000, up 7.5%. Those increases just continue to hammer affordability for so many buyers.

Cassidy Closing

Yeah, I mean, those are big numbers. It’s gotta feel like a pinch—buyers must be reevaluating their choices constantly, right?

Brian Moran

Oh, absolutely. And you can see it in the pending sales data. Single Family homes are down a shocking 27.2%—over a quarter fewer homes under contract compared to last year. For Townhouses and Condos, there’s a 14% drop. It’s hesitation across the board, and I think affordability and economic uncertainties are big factors driving that.

Cassidy Closing

That’s interesting, though, because the median price for Townhouses is pretty close to Single Family homes. So why do you think we’re seeing a smaller decline on the condo side?

Brian Moran

There’s probably a lot at play here, but condos might offer trade-offs that matter more in this market. Smaller spaces, yes, but lower overall costs to maintain, shared amenities—it’s a package that could attract buyers constrained by those higher Single Family prices.

Cassidy Closing

Right. It’s like, uh, you’re weighing what you really need versus what you want.

Brian Moran

Exactly. And it’s not just theoretical—I’ve seen this dynamic play out with my own clients. This one couple, for instance, they’ve been torn between a nice suburban Single Family home and an urban condo. The suburban space would give them a backyard, more privacy—basically what they initially dreamed of. But then the condo? It’s got a much friendlier price tag, plus no shoveling snow in the winter.

Cassidy Closing

Ugh, okay, that’s a strong argument for condos. No shoveling? Sign me up!

Brian Moran

It’s hard to argue with that, right? And the funny part is, they’re not alone. Their dilemma mirrors these macro trends—buyers debating between lifestyle perks and financial feasibility. For them, the data out there makes these decisions feel even weightier.

Cassidy Closing

Yeah, like, every number brings you back to reality. That combo of rising prices and fewer sales? It’s telling the exact story we’re seeing.

Brian Moran

And speaking of buyers weighing their options, there’s an interesting trend emerging that really highlights this pause we’ve been talking about—days on market. It’s up 7.7% for Single Family homes and a hefty 18.2% for Townhouses and Condos. That tells me buyers are reassessing, maybe taking more time to figure out budgets or waiting to see where prices and rates go next.

Cassidy Closing

Yeah, it kinda feels like everyone’s tapping the brakes right now. But is that hesitation purely affordability, or do you think other factors are creeping in?

Brian Moran

Affordability is definitely the big piece of the puzzle. The affordability index for Single Family homes dropped 7.5% compared to last year. For Townhouses and Condos, it’s down 2.4%. It might not sound massive, but in real terms, it means fewer people can qualify for what would’ve been a feasible purchase a year ago.

Cassidy Closing

Right, so even if someone’s ready to buy, they’re facing… just fewer options within their budget. I mean, that’s gotta be frustrating.

Brian Moran

Exactly. Add on rising inventory—up 18.8% for Single Family homes and a staggering 42.9% for Townhouses and Condos—and we’re in a bit of a tug-of-war here. Sellers are putting more homes on the market, but buyers are more selective, even cautious, because their purchasing power isn’t what it used to be.

Cassidy Closing

Whoa, that 42.9% jump in Townhouse inventory—that’s a lot. Do you think sellers are just… testing the waters or actually trying to price more competitively?

Brian Moran

Likely a mix. Everyone’s watching to see where demand goes. Sellers might feel pressure to adapt their pricing strategies if inventory keeps climbing, but others might feel confident holding out, banking on the limited supply of homes in certain price ranges to work in their favor.

Cassidy Closing

It’s like this balancing act—buyers waiting for deals, sellers waiting for offers. Toss in the affordability pinch, and, honestly, it sounds exhausting for everyone.

Brian Moran

It really is. And for some buyers, it’s not just exhausting; it’s a fundamental shift in how they approach homeownership. Renting, downsizing, relocating—these are all options they’re weighing as they navigate this rapidly changing market.

Cassidy Closing

Yeah, it’s such a different dynamic compared to, say, just a couple of years ago. But, you know, I appreciate how the data kinda lays everything bare. Even though it might seem overwhelming, it’s also the key to making better decisions, right?

Brian Moran

Absolutely. Data doesn’t just tell us where we are; it helps us figure out the next steps—whether you’re a buyer, seller, or agent. And moving forward, tools like generative AI could make it even easier to analyze trends, predict shifts, and provide clients with clearer options.

Cassidy Closing

That’s such a good point. Honestly, Brian, this has been so eye-opening. I mean, I thought I knew a bit about the market, but wow, there’s so much more to consider. Thanks for breaking it all down.

Brian Moran

Hey, it’s been a pleasure. Housing markets are complicated, but having conversations like this helps make it all a little less daunting.

Cassidy Closing

Totally agree. Well, listeners, that’s all we’ve got for today. Thanks for tuning in, and we’ll catch you next time. Stay sharp out there!