The Multiple Listing Service of the Lubbock Association of REALTORS® includes residential properties and new homes listed by over 1,700 REALTORS®.

2025 Starts With Growth in Home Prices Despite Slower Sales

The market report for the Lubbock Metropolitan Statistical Area (MSA) shows that while prices rose, sales activity declined slightly compared to January 2024, according to the latest data from the Lubbock Association of REALTORS®.

Key Highlights:

• Closed Sales Decline: January 2025 posted 282 closed sales, representing a slight decline of -6.6% compared to January 2024.
• Active Listings Climb Again: Active listings were up significantly at 15.0% year-over-year, reaching 1,611 homes, offering a greater selection for would-be buyers.
• Median Sales Price Increases: The median home price increased after a down December, closing at $233,495, this is also a year-over-year increase of 6.6% from January 2024.
• Days on Market Increases Again: Homes stayed on the market for an average of 71 days, 18 days longer than January 2024, indicating a slowing transaction pace for the second straight month.

Price Distribution and Months Inventory
Price distribution data shows that 43.1% of homes sold in January were in the $100,000 to $199,000 range, while 15.5% fell within the $200,000 – $299,000 range. Higher-end properties, including those above $500,000, accounted for approximately 11.3% of sales. Months of Inventory continued its upward trend, with 3.9 months of inventory, an 11.2% increase year-0ver-year. This indicates that while the market is more balanced than in previous years, it is still in the range of a seller’s market.  The months of inventory metric reflects the balance between supply and demand, with higher values suggesting a shift towards a more buyer-friendly market. The Texas Real Estate Research Center at Texas A&M states that a 6.0 months of inventory is considered a balanced market.

As the Lubbock real estate market continues to adjust to higher interest rates, it’s important to remember that there’s more to the market than simply what interest rates are. Consult with a local REALTOR® and mortgage lender for personalized guidance and expertise, as each home and neighborhood is different.