McAllen, Texas, is among the top buyer markets in the nation

Plus: Is NAR protecting homeowners or inexperienced agents?

February 27, 2025

☀️ Good morning! We're one step closer to the weekend.

Today's newsletter is 698 words — a 3-minute read.

1. New home sales drop 10.5% in January

According to Census Bureau data released on Wednesday, sales of new homes dropped 10.5% in January to a seasonally adjusted rate of 657,000 units, down from December’s revised rate of 734,000.

Here are some of the key takeaways:

  • Rising inventory of new homes for sale rose to 495,000 units in January, pushing supply to 9 months.

  • The median new home sales price was $446,300.

2. NAR makes $197M commission suit settlement payment

The National Association of Realtors (NAR) has made a significant payment toward its $418 million antitrust settlement, which aims to resolve claims brought by home sellers nationwide over commission rules.

According to lead plaintiffs' counsel Michael Ketchmark of Ketchmark & McCreight, NAR initially paid $5 million when the settlement was submitted for preliminary approval, followed by a $197 million payment on February 20th, 2025.

The next settlement payment of $72 million is due on February 24, 2026.

However, none of the settlement funds will be disbursed to home sellers until all appeals have been exhausted and the agreement becomes final.

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3. Catch up quick

🚨 Received a text about evading tolls? TxDOT warns about the surging text message scam. (KVUE)

💬 San Antonio tiny home sparks debate over $107K pricetag. (MySA)

🔥 McAllen, Texas, is among the top buyer markets in the nation. (Redfin)

🤔 Is NAR protecting homeowners or inexperienced agents? Compass CEO questions. (BAM)

💰 Dallas’ priciest home hits the market again with a $64M price tag. (BizJournal)

💡 Fun read: How to make your home more resilient to power outages. (Realtor.com)

4. CFPB nominee Jonathan McKernan gains strong support from housing groups

A coalition of major housing industry organizations is urging the Senate to swiftly approve Jonathan McKernan as the next Consumer Financial Protection Bureau (CFPB) director.

In a joint letter to the Senate Banking Committee, multiple housing groups—including the National Association of Home Builders (NAHB), the National Association of Realtors (NAR), and the Mortgage Bankers Association (MBA)—stated that McKernan’s regulatory expertise makes him well-suited to lead the agency while supporting responsible lending, consumer protections, and housing market stability.

5. Offerpad's net loss shrinks to $62 million in 2024

Online property marketplace and real estate technology company Offerpad Solutions Inc. reported a net loss of $17.3 million in the fourth quarter of 2024, up 12% from the $15.4 million loss it sustained in the final quarter of 2023.

  • Its full-year 2024 net loss totaled $62.2 million, which was a 47% improvement from the 2023 loss of $117.2 million.

  • The number of homes acquired by the firm fell from the third quarter by 9% to 384, while its 503 homes sold declined by 18%. For the full year, it sold 2,707 homes, 26% less than in 2023.

6. HUD Secretary Turner to scrap costly federal zoning rule Trump warned would ‘destroy’ suburbs

On Wednesday, the HUD Secretary, Scott Turner said he would terminate the Affirmatively Furthering Fair Housing (AFFH) rule, repealing the law which was enacted to “overcome historic patterns of segregation.”

President Trump originally terminated the rule after he said it would “destroy the value of houses” but it was restored by former President Biden in 2021.

“By terminating the AFFH rule, localities will no longer be required to complete onerous paperwork and drain their budgets to comply with the extreme and restrictive demands made up by the federal government.”

Scott Turner, HUD Secretary

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