For the past few years, the real estate market has felt like a rollercoaster — soaring home prices, rising interest rates, and low inventory made it hard to know when or how to jump in. But in 2025, things are shifting. If you’ve been on the sidelines, this could be your moment.
Let’s break down what’s happening, why it matters, and how you can take advantage of it through tokenized real estate investing.
Home Prices Have Pulled Back in Key Markets
According to Wolf Street, as of February 2025, 21 out of the 33 largest housing markets in the U.S. have seen a decline in home values from their peak levels in 2022. That means buyers — especially investors — are finally seeing more realistic pricing.
This isn’t a crash. It’s a healthy correction in markets that were overheated, and for long-term investors, that’s a good thing. Lower entry prices = more upside potential.
Interest Rates Are Easing, Slowly but Surely
Mortgage rates spiked in 2023 and 2024, but in early April 2025, they’ve ticked down slightly to an average of 6.64% for a 30-year fixed loan, according to MySanAntonio.com. While that’s still above pandemic-era lows, it represents the first signs of cooling, and more cuts may be ahead as the Fed works to stimulate the economy.
Lower rates increase affordability and improve cash-on-cash returns — especially for fractional investors who rely on income streams from tokenized assets.
Inventory Is Up. Competition Is Down.
For the first time in years, buyers have options. According to ResiClub Analytics, active housing inventory rose 27.6% from February 2024 to February 2025, giving investors more negotiating power and better access to cash-flowing properties.
This shift in balance — more supply and more motivated sellers — means investors can lock in better deals in good markets.
What This Means for Tokenized Investors
At ProperFi, we focus on real-world real estate assets with strong rental histories, good cap rates, and future appreciation potential. These market conditions create an ideal window for acquiring properties that will be fractionalized and made accessible to investors through our platform.
With the combination of:
- Lower prices in prime areas
- Slightly easing borrowing costs
- Greater inventory and less competition
…this is a prime opportunity to build wealth in real estate — even without buying an entire property yourself.
Final Take
Real estate is cyclical. The most successful investors don’t wait for the headlines to scream “perfect timing.” They move when market fundamentals quietly shift in their favor — like they are right now.
Whether you’re a seasoned investor or just getting started, ProperFi will give you the tools and access to invest smarter.
Join our waitlist, and be among the first to take advantage of this moment in real estate — one property token at a time.