The Vermont housing market in January 2025 presents a dynamic landscape characterized by rising prices and increased inventory. The Median Sales Price has reached $414,400, marking a significant year-over-year increase of 6.9%. This upward trend in sales prices is mirrored by the median Price Per Square Foot, which has surged by 12.4% to $252.00. These figures suggest a robust demand for housing in Vermont, despite the broader economic conditions.

Conversely, the Median List Price has seen a modest increase of 1.9%, now standing at $452,900. The Median List Price per square foot has also risen by 2.9% to $260.00. This disparity between the growth rates of sales and list prices may indicate a competitive market where buyers are willing to pay more than the initial asking prices, albeit at a slower rate than the previous year.

In terms of sales activity, Vermont has experienced a notable increase in the number of Homes Sold, with a 9.5% rise year-over-year, totaling 440 homes. Pending Sales have seen a slight uptick of 0.6%, reaching 546. New Listings have increased by 5.4%, with 492 properties entering the market. This influx of New Listings, coupled with a substantial 28.9% increase in inventory, suggests that sellers are responding to the heightened demand.

The Months of Supply, a critical indicator of market balance, has escalated by 70.0% to 4.20 months. This increase indicates a shift towards a more balanced market, moving away from the seller's market conditions that have prevailed in recent years. The Median Days on Market have also increased by 20.0%, now averaging 84 days, which may reflect a more deliberate pace in buyer decision-making.

The average sale to list ratio has slightly decreased by 0.5%, now at 97.1%, indicating that homes are selling closer to their list prices. The percentage of Homes Sold above list price has declined by 6.1% to 20.0%, suggesting a cooling in bidding wars. Additionally, the proportion of Price Drops has increased by 2.8% to 16.0%, further indicating a shift towards a more balanced market.

Finally, the percentage of homes going off the market within two weeks has decreased by 7.7% to 30.9%, reflecting a slower pace in the market. This trend, combined with the other indicators, suggests that while demand remains strong, buyers are exercising more caution and taking longer to finalize their purchasing decisions.

Overall, the Vermont housing market in January 2025 is characterized by rising prices and increased inventory, with signs of a gradual shift towards a more balanced market. While demand remains robust, the market dynamics suggest a more measured pace of activity compared to previous years.