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In 2025, San Antonio homeowners and buyers might see a shift in the housing market, with signs pointing to a possible drop in prices.
Using 7 key data points, we’ll explore why this change could be on the horizon—from rising inventory to shifts in demand. Let’s dive into what could be driving a potential price decline for San Antonio homes.
This article gives you valuable insights, but remember, it’s not and will never be investment advice. We pull data from a range of sources to provide you with the most accurate picture possible, yet we can’t guarantee complete accuracy. Markets are difficult to predict. Make sure to do your own research and consult a professional before making any financial moves. Any risks or losses are your own responsibility.
1) With the median price down to $263,500, San Antonio’s market is clearly correcting, and more price drops may be coming
San Antonio’s median home price has dipped by 2.4% from last year, now at $263,500.
When prices start falling, it’s often a sign of a market correction, where values gradually adjust after a period of inflation.
This correction can sometimes stretch over multiple years as the market stabilizes, meaning there’s potential for continued declines into 2025.
Source: Redfin
2) Homes are now sitting on the market for 60 days in San Antonio, showing that demand is slowing, and prices could follow
Homes in San Antonio are sitting on the market for an average of 60 days now, compared to 43 days last year. Let's also note that it's almost double the national average of 33 days.
This means it’s taking longer to sell a property—often a clear signal that buyer interest is down.
With fewer buyers jumping in, sellers have to compete harder to close deals, which often leads to price cuts. If sellers are eager to move on and buyers aren’t as interested, prices are likely to drop to attract more attention.
Sources: LiveNowFox, Redfin
3) Buyers in San Antonio are paying 2.21% below list price on average, which means sellers are losing leverage
Homes are generally selling for about 2.21% less than their asking prices in San Antonio. Also, 31.7% of listings in San Antonio have experienced price reductions.
This suggests that buyers are negotiating harder and succeeding, meaning they have the upper hand.
When buyers have the power, it’s often a sign of a softening market where sellers can’t hold firm on prices. This trend indicates that more price reductions could be on the horizon.
Sources: Redfin, MySanAntonio
4) Rent prices dropped by 7-8% in San Antonio, so it's less interesting to buy and rent out
Yes, rental prices in San Antonio have experienced a decline recently. As of November 2024, the median rent for all bedroom counts and property types in San Antonio is $1,503, reflecting a 7% decrease from the previous year.
In June 2024, San Antonio saw an 8.2% year-over-year drop in median rents, bringing the average to $1,234 per month.
This decline in rental prices, alongside a rise in new rental units, points to cooling demand in the rental market.
This shift could influence property investors to lower purchase prices as rental income prospects weaken.
Sources: New York Post, The Sun, Zumper
- Yes, it's actually a better idea to rent your place in San Francisco
5) San Antonio’s inventory is up 25.2%, giving buyers plenty of choices and putting pressure on prices
San Antonio’s housing inventory has jumped by 25.2% from pre-pandemic levels. Also, a 28% year-over-year increase in inventory was reported at the end of 2024, alongside a 20% rise in new listings, according to RE/MAX. Actually, there are high inventory levels with 10,602 homes listed for sale - highest since 2017 (yes!).
With more homes on the market, buyers have more choices, which eases the pressure that scarcity usually puts on prices.
When options increase for buyers, sellers are more likely to lower prices to stay competitive, reducing overall market values.
Sources: Federal Bank of Saint Louis, MySanAntonio, Sell My House Fast
6) Zillow’s calling for a 1.7% drop by mid-2025 in San Antonio, signaling more cooling ahead
Zillow forecasts a 1.7% drop by July 2025 in housing prices in San Antonio.
These predictions come from a deep dive into market trends and factors, pointing to a steady, gradual reduction in prices.
When experts foresee a prolonged dip, it usually means there’s sufficient data indicating the market will continue to cool.
Source: Zillow
7) A study names San Antonio the 4th hardest-hit market for property value drops
GoBankingRates analyzed data from the 200 largest metro statistical areas (MSAs) to rank housing markets based on property value drops.
They used 10 factors, with data sourced from Zillow’s June 2024 reports, scoring each MSA on these criteria: one- and two-year percentage and dollar changes in home value, for-sale inventory (weighted 0.5x), average days from listing to pending, list-to-sale ratio, days from pending to close, share of listings with price cuts (weighted 2x), and average price cut (weighted 2x).
Each factor was scored, with emphasis on recent price drops and listings with cuts, creating an overall score to identify the hardest-hit markets.
And San Antonio came 4.
Source: GoBankingRates
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So, will San Antonio housing prices fall in 2025? It seems likely
San Antonio's housing market is showing signs that prices might drop in 2025. Several factors are contributing to this potential decline.
First, the median home price has already decreased by 2.4% from last year, now sitting at $263,500. This suggests a market correction is underway. Homes are also taking longer to sell, averaging 60 days on the market, which is almost double the national average. This indicates a slowdown in demand.
Additionally, buyers are paying 2.21% below list price on average, showing that sellers are losing leverage. With 31.7% of listings experiencing price reductions, it's clear that buyers have the upper hand. The rental market is also cooling, with rent prices dropping by 7-8%, making it less attractive for investors.
Moreover, housing inventory has increased by 25.2%, giving buyers more choices and putting pressure on prices. Zillow predicts a 1.7% drop by mid-2025, and San Antonio is ranked as the 4th hardest-hit market for property value drops. All these factors combined suggest that a price decline is likely in the near future.