June 2025 Market Analysis

Washington County Report Quick Takes

In this edition, we’ll get an idea of market dynamics based on our real estate data and analysis. Here are the quick take aways this month.

🏠New Home Prices - New home prices surged the most in four years at 13.4% year over year.

🌧️ Wet Spring Impact- June new home sales hit a 4-year low. With 22 inches of rain in April and May, we suspect weather played a major role in delayed closings.

🏡 Existing Home Prices - Consistent but modest growth at 3% per year the last two years.

Year over Year Results

Housing prices increased in all segments for June year over year.

Existing Home Sales Washington County

Over the last two years, existing homes have only increased by 3% in Washington County per year indicating a slowdown in the price increases we saw going back to the pandemic. Higher interest rates are likely keeping a cap on price increases. Average 30 year interest rates in June 2025 stand at 6.75% compared to the 3% rates (or even the 2% mythical rate your neighbor down the street brags about) from the pandemic.

New Home Sales - Washington County

New home sales represent 39% of total residential sales whereas that number was 50% last year. The data is really interesting here and shows the competition between new home sales and existing. The average home prices are similar between the two products. However, average prices for New Builds jumped 13.4% from June 2024.

The volume of new builds in Washington County has not changed much over the past four years. In fact, June 2025 had the fewest new home sales in the last four years. There may be some correlation with lower home sales and the large amount of rainfall we have received this year.

Total Inches of Rainfall - Fayetteville AR

We won’t provide rainfall totals every month (that’s Dan Skoff’s job) but we’re always looking for the story behind the numbers. Could the 22 inches of rain in two months have impacted deliveries of new homes? That is the story we’re going with until we see data that tells us differently.

Total sales volumes in Washington County remains consistent over the last four years. While the mix of existing and new builds has fluctuated the total volume in dollars has not.

Financial Health

Notice of Defaults:

There were 15 total Notice of Defaults filed in Washington County in June 2025 compared to 21 filed in May 2025. An increase in filings would indicate possible borrower issues with repayment of loans but the data is not showing any issues at this time.

Mortgage Activity

The average mortgage balance in June 2025 was $321,348. As you can see above, mortgage activity is on the rise year over year indicating more activity in the area. The volume of refinance activity is well below the pandemic years of 2021 and 2022 and is why that bar is so much lower. Today’s mortgage activity is much more related to home acquisition rather than refinance activity.

Stay Informed!

Want access to full reports, rankings, and transaction-level data?
Subscribe to the Allegiance Intelligence newsletter for monthly updates, sharp commentary, and curated insights tailored to NWA real estate pros.