ALBANY—The Albany County housing market showed continued resilience in January, with rising home sales and increasing prices mirroring statewide trends, according to data from the Greater Capital Association of Realtors and the New York State Association of Realtors.
However, declining inventory remains a persistent challenge for buyers.
Closed home sales in Albany County increased by 3.6 percent from January 2024 to January 2025, climbing from 166 to 172 transactions. New listings saw a more significant increase of 22.1 percent, growing from 145 to 177. The jump in new listings is a promising sign for potential buyers, as inventory has remained tight across the region.
Statewide, closed sales also increased by 3.1 percent year over year, rising from 7,395 transactions in January 2024 to 7,625 in January 2025. New listings in New York State saw a more modest 0.5 percent rise, increasing from 9,078 to 9,125. While Albany County’s rate of new listings outpaced the statewide average, overall inventory constraints continue to impact housing availability.
Home prices in Albany County continued their upward trajectory, with the median sales price rising 12.1 percent year over year, from $285,456 in January 2024 to $320,000 in January 2025. Statewide, the median home price increased 10.5 percent in December, rising from $380,000 in 2023 to $420,000 in 2024.
The increase in prices reflects ongoing demand in the housing market, despite higher interest rates and limited inventory. For sellers, the strong price growth provides an incentive to list their homes, but affordability remains a concern for many buyers.
One of the biggest hurdles for buyers remains the declining inventory of available homes. In Albany County, the number of active listings fell by 15.9 percent from 232 in January 2024 to 195 in January 2025. The months’ supply of inventory—a key metric for gauging market conditions—also declined by 19.3 percent, from 1.2 months to just 1.0 month.
Statewide, housing inventory also fell, though at a slower rate, dropping 3.2 percent from 23,640 homes in January 2024 to 22,876 in January 2025. The tight inventory continues to create a competitive market, leading to bidding wars in some areas.
Rising mortgage rates have influenced buyer behavior over the past year. The average interest rate on a 30-year fixed mortgage was 6.96 percent in January, up from 6.64 percent a year ago, according to Freddie Mac. Higher rates have added to affordability concerns, particularly for first-time buyers facing escalating home prices and limited supply.
As the Albany County housing market enters the spring season, buyers and sellers will continue to navigate a landscape marked by rising prices and limited inventory. The increase in new listings provides some hope for expanded options, but competition remains strong, and affordability challenges persist.
The market’s performance in the coming months will likely depend on economic factors such as interest rates, employment trends, and broader consumer confidence. For now, Albany County’s housing market remains in line with statewide trends, demonstrating resilience despite economic uncertainties.
