R
ochester's real estate market is a force to be reckoned with, shattering records and defying national trends. While other regions are experiencing cooling demand and rising inventory, Rochester remains fiercely competitive, presenting both challenges and opportunities for buyers and sellers.

    Key statistics paint a vivid picture:

    * Housing inventory in Rochester has plummeted by 24% since December 2023, with a staggering 53% decline over the past five years (Redfin).

    * Property values have surged 7.4% in the last year, ranking Rochester seventh nationally for home price appreciation (Reventure).

    * A whopping 68% of local homes sold in bidding wars, the highest rate in the country (Stacker), with an average sale price 8.7% above the list price (Stacker).

    Rochester's competitive market has earned it a top spot on Zillow's Heat Index, which ranks the nation's most competitive real estate markets.

    Buyers are facing intense pressure due to rising mortgage rates and a local inventory shortage, making it difficult for those who need financing. Sellers prefer all-cash offers, leaving buyers at a disadvantage. The median age of first-time buyers has reached an all-time high of 38, as the competition can be fierce with all-cash transactions now accounting for 26% of home purchases nationwide.

    In response to affordability pressures, co-ownership and multigenerational living are emerging trends. By pooling resources, families can address high down payments while meeting broader needs, such as elder care or support for younger generations. Nationally, 17% of households now consist of multiple generations – a record high.

    The lead-up to the presidential election also influenced buyer behavior, with many pausing their searches amid uncertainty. However, once Nov. 5 passed, these hesitant buyers returned to the market en masse, creating a remarkable post-election surge in bidding wars and multiple offers.

    As 2025 unfolds, we may see more sellers entering the market as property taxes, utility bills, and maintenance costs become increasingly burdensome for homeowners who have been delaying their desire to downsize.

    Advice for buyers: start building equity today. While property values are high, they're unlikely to drop. Interest rates may be elevated now, but they won't stay that way forever – you can refinance down the line. Starting your homeownership journey now sets you on the path to achieving your goals, just like Josh Allen's relentless drive ensures a Super Bowl victory for Buffalo.