As we roll through 2025, buying a home still feels like a wild ride. Prices are through the roof. The average home in the U.S. is hovering around $435,000. While interest rates are finally starting to cool off in the housing market, they’re still keeping a lot of first-time buyers stuck in limbo, dreaming about that perfect starter home.
But here’s the good news: some properties are about to skyrocket in value this year. Whether you’re thinking of selling to cash in or hunting for a place that’ll grow with you, there’s opportunity knocking.
GOBankingRates checked in with some real estate pros to find out which houses are going to be the biggest winners by the end of 2025. Their insights? Absolute gold. Let’s break it down.
Historic Homes: Classic Charm, Serious Value
There’s something special about a historic house. In a world of cookie-cutter new builds, these gems stand out with their unique details and timeless character. They’re not just homes. They’re stories.
Danny Johnson, the guy behind We Buy Houses Cash Texas, is all in on this housing market trend. “These homes aren’t being built anymore,” he said. “That scarcity drives demand, especially in city centers where property values are already strong.” So if you love a creaky staircase, stained glass, and the idea of living somewhere with a past, historic homes might just be your thing and a solid investment.
Multifamily Properties: House Hack Like a Pro
With prices and mortgage rates still making things tricky, multifamily properties are having a major moment. Think duplexes, triplexes, or small apartment buildings where you can live in one unit and rent out the rest. It’s a way to own property and make money at the same time.
Matt Morgan from IPA Commercial Real Estate swears by it. “Near city centers or transit hubs, these places are hot,” he said. “Rent is climbing faster than inflation, so they’re a no-brainer for long-term value.” Some experts are predicting these properties could see 10% to 15% annual value growth over the next five years. If you’ve got an investor mindset, this could be your golden ticket into the housing market.
Sustainable Homes: Eco-Friendly and Bank-Friendly
Younger buyers are changing the real estate game, and sustainability is high on the list of must-haves in the housing market. Solar panels, energy-efficient upgrades, and even homes made from recycled materials. Buyers are all about it.
Lindsey Harn from Christie’s International Real Estate sees the shift firsthand. “Carbon-neutral homes with passive solar design are goldmines,” she shared. “People care about the planet, and they’re investing in homes that reflect those values.” Modular and smart homes are also popping up as affordable, eco-conscious options. Experts say these homes could appreciate by 5% to 8% per year. Green living? Big returns.
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Senior Housing & Assisted Living: The Market’s Next Big Thing
Here’s a huge trend to watch. Senior housing. With an aging population, the demand for retirement-friendly housing is exploding. Whether it’s downsized homes, assisted living communities, or 55+ neighborhoods, this sector is set for serious growth.
Matt Morgan is keeping close tabs on this trend. “Demand is outpacing supply, especially in warm-weather retirement hotspots,” he said. “We’re talking 7% to 12% value increases annually.” If you’re thinking long-term, this could be a market worth exploring, whether for yourself or as an investment in the housing market.
Furnished Apartments & Condos: Move-In Ready and Rising Fast
Imagine landing a new job in a different city and skipping the headache of moving furniture. Fully furnished rentals, complete with beds, couches, and kitchen essentials, are trending hard.
Garrett Ham, who runs Weekender Management, has seen it firsthand. “In places like Fayetteville, Arkansas, furnished two-bedroom apartments near downtown are up over 15% year-over-year,” he said. With remote work still a thing and more people embracing flexible lifestyles, these move-in-ready homes are in high demand, and their prices are climbing accordingly.
Homes with ADUs: Extra Space, Extra Cash
Accessory dwelling units (ADUs) think backyard cottages or basement apartments, are gaining serious traction. They offer extra income potential, guest space, or even a comfortable setup for aging parents.
Rick Albert from LAMERICA Real Estate is a big fan. “Affordability is tough right now,” he explained. “ADUs give you options: rental income, space for family, or even a downsizing plan where you live in the ADU and rent out the main house.” Homes with ADUs are projected to see major appreciation as more people catch onto the flexibility they offer.
Starter Homes: The Rarest Treasure
Starter homes, those affordable, entry-level homes perfect for first-time buyers, are becoming unicorns. Investors are snapping them up, and builders are more focused on larger, more expensive homes.
Martin Orefice from Rent To Own Labs put it bluntly. “If you snag a starter home, you’ve hit the jackpot,” he said. “They’re scarce, and that’s pushing prices up fast.” If you’re a first-time buyer, keep an eye out. These homes are still out there, but they’re going fast, and their value is only climbing.
Where Do You Fit In?
The housing market is always shifting, but knowing where the growth is happening can help you make a smart move. Maybe you’re all about the charm of a historic home, intrigued by the steady returns of multifamily properties, or drawn to the sustainability trend. Or maybe a furnished condo, a home with an ADU, or even a starter home is more your speed. Whatever your style, there’s an opportunity waiting.
If you’re selling, these trends could mean a big payday. If you’re buying, they might help you find a future-proof investment. My advice? Talk to a local real estate pro, crunch the numbers, and trust your instincts. 2025 could be the perfect time to make your move, so let’s make it a good one.
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