Something wild just happened in the housing market that's never occurred before.

For the first time ever, brand-new homes are actually cheaper than existing ones. Yeah, you read that right. The median price for newly built houses has dipped below the resale market.

This flip is pretty unprecedented. Historically, new construction always commanded a premium—newer materials, modern layouts, that fresh paint smell. But here we are in 2025, and the script's been flipped.

What's driving this? Builders are cutting deals to move inventory. High mortgage rates crushed demand, so developers are slashing prices, offering incentives, buying down rates—basically doing whatever it takes to close sales. Meanwhile, existing homeowners are sitting tight, refusing to sell and give up their sub-4% mortgages, which keeps resale inventory tight and prices stubbornly elevated.

This shift could signal bigger changes ahead for real estate dynamics and how capital flows between asset classes. Worth keeping an eye on as macro conditions continue evolving.