December 2025 Vermont Housing Market Update: Wrapping Up 2025 with Steady Sales and Strong Volume

As 2025 came to a close, we saw one final reminder of how the real estate market has shifted. Even with slightly fewer closings, total sales volume in December climbed to $156.7M, up 13.15% year-over-year, driven by a higher average sale price and more luxury activity, showing us that buyers were still active and willing to spend despite the chillier pace. Here is what stood out in the year-end data and what it tells us as we head into 2026.

Buyer Activity: Seasonal Dip vs. Yearly Growth

Buyer activity showed two different stories this month. On one hand, we saw the typical December slowdown with a 21.65% drop in pending contracts month-over-month. On the other hand, total activity remains much higher than last year.

• Total Under Contract: There were 181 homes under contract in December, a 13.84% increase year-over-year.
  
  
• Closings: We saw 262 closed sales, which is a 10.55% increase from November.
  
  

The Bottom Line: Buyers are still very much in the market, taking advantage of the end-of-year window even as new options become scarce. With Under Contract numbers up nearly 14% over last year, we are entering 2026 with a much stronger buyer pool than we saw at this time in 2024.

Inventory + Competition: The Supply Gap

One of the most significant constraints on the market right now is the flow of new inventory. December saw 152 new listings enter the market, a 19.15% decrease compared to the previous month. While sellers held off listing, demand and pending home sales stayed steady, particularly for a holiday month where things usually slow down.

• The Supply Gap: With 181 homes going under contract and only 152 new listings added, the market is currently absorbing new inventory faster than it arrives.
  
  
• Expired and Terminated Listings: These jumped 15.05% month-over-month, with 107 listings expiring or being terminated in December. This serves as a warning that in this higher-priced market, buyers will simply wait or let a listing sit if it does not meet their standards for value and condition.
  
  

The Bottom Line: This supply gap creates a competitive environment for properties that are priced well and show beautifully. However, the rise in expired and terminated listings shows us that buyers are still value-conscious, and homes that feel overpriced or poorly presented still get passed over.

Longer Days on Market: Buyers Not Willing to Settle

In a market where prices have risen sharply, buyers are doing more due diligence, making fewer impulse offers, and passing on homes that do not check enough boxes. This does not mean the market has gone cold; it means the bar for what constitutes an acceptable home, at the prices now being asked, has risen.

• Average Days on Market: 49 days (up 25.64% year-over-year), likely driven by homes that are overpriced or have unique challenges, as buyers have become more selective with their offers.
  
  
• Median Days on Market: 24 days (up from 21 days last December), suggesting that most well-positioned homes are still finding buyers in about three weeks.

 

Bottom Line: That data doesn’t lie—for sellers, having a well-prepared, well-priced listing matters more than ever. Homes that need work, are priced optimistically, or that have unique challenges, are sitting noticeably longer than they did a year ago.

Pricing + Negotiation: Reaching New Highs

Vermont property values continue to climb, with the average sales price reaching almost $600,000 for the month of December. More higher-end sales helped lift overall pricing, but the negotiation gap is still widening, and sellers are having to recalibrate for the current market.

• Average Sold Price: $598,057 (a 14.87% jump year-over-year).
  
  
• Median Sold Price: $456,000 (up 9.88% year-over-year).
  
  
• List-to-Sale Ratio: The average ratio was 97.61%, down more than 1% year-over-year. This is a small but real shift, showing that buyers are now able to negotiate a little bit more than they were even a year ago.
  
  
• Price Reductions: 96 listings reduced their price in December, down 47% from November. This suggests that sellers are either pricing more effectively up front or are holding firm through winter.

Bottom Line: While prices are higher than ever, buyers are successfully negotiating roughly 2-3% off the list price on average. 

Luxury Snapshot: A Surge in High-End Sales

The luxury market delivered one of its most active months of the year, proving that high-end buyers are not letting seasonal trends hold them back.

• Units Sold Over $1M: 28 homes, a 64.7% increase year-over-year and a 16.7% increase month-over-month.
  
  
• Highest Sale: One property closed for $7,200,000, selling at roughly 90% of its list price.
  
  

The Bottom Line: The high-end Vermont market is active heading into 2026, though these buyers are price sensitive. The widening gap between list and sale price at the very top (90.57% this year vs 95.24% last year) is consistent with how high-end real estate works: fewer comparable sales, more room for individual negotiation, and buyers who will push back.

TL;DR: December 2025 at a Glance

• Prices are up: Year-over-year, the average sales price is up 14.9% to $598,057, and the median sales price is up 9.9% to $456,000.
  
  
• New inventory is tight: Only 152 new listings were added in December, a 19.2% drop from November.
  
  
• Demand is steady: Total homes under contract are up 13.8% compared to last year and outpaced the new inventory.
  
  
• Homes taking longer to sell: Both the average (49 days) and median (24 days) days on market have increased as buyers become more selective.
  
  
• Pricing is still key: Overpriced listings are not surviving, with 107 expired or terminated, up 15% month-over-month.
  
  
• Luxury is booming: The luxury market had an exceptional December with 28 sales over $1M and a highest closed sale of $7.2M.
  
  

What This Means for Buyers & Sellers

For Sellers: Low inventory is a real advantage, but it is time to understand the market as it is now. You are entering 2026 with record-high property values, but the market has changed and pricing strategies that worked years ago no longer apply. Homes priced well relative to comparable sales are still selling quickly and for close to asking. However, the 107 expired listings in December are a warning: buyers are not stretching for overpriced homes, even when inventory is low. Work with your agent to ensure your home has the best presentation possible and use a pricing strategy based on current comps, not what your neighbor got 2+ years ago.

For Buyers: December's data is quietly encouraging. The increase in days on market is your biggest advantage. While the "sticker price" of homes is up, you have more breathing room to negotiate and conduct inspections than you did a year ago. Come prepared with financing, know your priorities, and do not be afraid to negotiate on homes that have been sitting. The window to move with less competition is right now, before the typical spring surge brings a fresh wave of competing buyers into the market.

Looking Ahead to 2026

All signs point to a market that is finding its balance. Inventory is still higher than a year ago, pricing remains elevated, and the pace has slowed. We are seeing a more strategic environment for both sides of the transaction: one where buyers are not rushing, and sellers with the right approach can still win.

Despite a slower second half, 2025 outperformed 2024 overall:

• Total Sales Volume: $1.7B (up 11%)
  
  
• Total Units Sold: 2,978 (up 8.2%)
  
  
• Average Sale Price: $569,608 (up 2.5%)
  
  

That strong finish sets the tone for a new year where opportunity exists if you know where to look and how to act.