Let’s take a deep dive into the top residential real estate stories of 2025

In 2025, the residential real estate landscape was defined by massive corporate shifts, evolving listing policies, and record-breaking market data.

1. Major Corporate Consolidations and Rivalries

Compass and Anywhere Merger Talks: One of the year’s biggest headlines involved the industry’s largest brokerages, Compass and Anywhere Real Estate, agreeing to join forces. Additionally, reports emerged in March 2025 that Compass was negotiating to acquire Berkshire Hathaway HomeServices.
The “Portal Wars” Heat Up: Competition among Zillow, Homes.com, and Realtor.com intensified. Zillow faced significant scrutiny, including a four-year return of commingled listings and a “siege” from competitors and legal challenges.

2. Battle Over Listing Rules and MLS Policies

Clear Cooperation Policy Dispute: After years of debate, the National Association of Realtors (NAR) decided to maintain its “Clear Cooperation Policy,” requiring listings to be on an MLS within one day of marketing, though it added a new “delayed marketing exempt” category.
Private Listing Debate: Tension peaked over private (“pocket”) listings, with debates and court battles questioning if Zillow could ban listings not on the MLS and if MLS listings should be displayed alongside non-MLS properties.

3. Historically Low First-Time Buyer Participation

All-Time Lows: The share of first-time homebuyers dropped to just 21%—the lowest since NAR began tracking in 1981.
Aging Buyers: The median age of first-time buyers reached a record high of 40, while the typical repeat buyer age rose to 62.

4. Shifting Market Dynamics

The Rise of Cash Buyers: All-cash home purchases reached an all-time high, averaging 26% of all transactions in 2025.
Regional Migrations: After years of “boomtown” growth in Texas and Florida, the trend shifted toward the Midwest as buyers sought lower home prices and taxes.
Mortgage Rate Stabilization: While rates peaked above 7% early in the year, they eventually retreated to approximately 6.2% to 6.6% by late 2025.

5. High-Profile Crimes and Legal Battles

Industry Scandals: 2025 saw high-profile criminal cases, including an ex-MLS CEO charged with grand theft and text scams targeting real estate professionals.
Commission Litigation: Major commission-focused lawsuits continued to develop, with court’s ruling on attempts to expand class-action claims