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When Property Condition Can Make
or Break a Sale in 2025

Why Today’s Buyers Are Laser-Focused on Home Condition

In today’s housing market, even small imperfections can send buyers running. With more options to choose from, affordability pressures, and limited extra cash for post-purchase fixes, condition matters more than ever.

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“Buyers aren’t desperate, they’re selective. A property’s condition can be the deciding factor in whether they stay in the deal or walk away.”

Condition Sensitivity in the Current Market
While property condition has always mattered, 2025 buyers are especially critical. With the cost of purchasing so high, buyers expect homes to be move-in ready. That means dated carpet, chipped paint, or worn finishes can now be deal-breakers. Unlike in the fast-paced 2021 market, buyers today have the luxury of patience. As market preferences shift, elements like condition and location may have a greater impact on value than before, making it essential for sellers and agents to keep these details in mind.

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More Choices for Buyers
Inventory levels have grown, giving buyers the freedom to be selective. Locally, the number of active listings is up nearly 40% from last year, offering a wider pool of options. This means buyers can compare multiple properties and choose the one that feels right putting pressure on sellers to ensure their home stands out.

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Budget Constraints for Upgrades
Many buyers simply don’t have the funds for major updates after closing, so they seek homes that already meet their standards. Move-in ready properties are attracting the most attention, while homes in need of work can still sell, but often at adjusted prices that reflect the cost of improvements.

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Last-Minute Repair Requests
An increasing number of buyers are asking for additional repairs just before closing. These eleventh-hour negotiations can strain relationships and delay transactions. Sellers should be prepared for these requests and approach them strategically to keep the deal moving forward.

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Staying in Contract Takes Work
It’s not just about getting into contract, it’s about staying there. Buyers are more likely to back out over small issues, and cancellations are on the rise. Sellers who price competitively, negotiate openly, and ensure the transaction feels fair to buyers are more likely to make it to the finish line.

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Current Market Trends
Overall, prices in many areas are holding steady compared to last year, though there’s growing downward pressure as supply increases. Rates have eased recently, but the impact on demand has been minimal. Properties are sitting longer, and while it’s not the steep decline seen in past downturns, certain price segments are feeling the pinch.

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Sales Activity and New Construction
June saw the lowest sales volume for that month in decades, though July showed modest improvement. Builders faced a tough first half of the year but saw stronger activity in July thanks to incentives and price adjustments.

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Shifts in Pricing Behavior
A noticeable change in the market emerged in April, tied in part to economic uncertainty and shifts in buyer sentiment. Homes selling below list price are now common, in fact, 62% sold for less than the original asking price last month, compared to a seasonal norm of around 47%.

In This Arcticle

Learn why condition sensitivity has intensified, how current inventory levels affect buyer behavior, and what sellers can do to keep buyers committed through closing.

Final Takeaway
Buyers today have high standards, more choices, and less urgency and that combination means condition matters more than ever. Sellers who adapt by presenting homes in top shape and staying flexible during negotiations stand the best chance of closing successfully.

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Martie Wynn

DRE# 01468396

408.693.1366

martie.wynn@c21selectgroup.com

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© 2025 by Martie Wynn

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