Top 10 Best Cities for Working Women in 2025

Good morning, Dwellers! Welcome to another edition of Dwellings Digest, a realtor and investor driven newsletter simplifying real estate, exploring the economy-stock-real estate link, adding a fun twist with niche topics and more. Enjoy!

In today’s edition - Markets brace for Trump’s April 2 tariff hike, with “effective tariff rates” possibly reaching 50%. Despite economic uncertainty, U.S. housing starts jumped 11.2% in February 2025, signaling builder optimism. “Inventory growth is opening doors for savvy buyers this spring,” said Redfin’s Chief Economist. Meanwhile, condo sales collapse under Fannie Mae’s growing blacklist, and retirees flee high-tax states for affordable regions. Stay updated with expert insights on real estate trends, housing market shifts, and economic developments shaping today’s property landscape.

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Mortgage & Stocks

Average going rates as of Mar 21 2025

Numbers as of Mar 21 2025 closing

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🏛️ Economic & Market Sentiment

Estimated Impact of President Trump’s Proposed Tariffs

Revenue Effects of President Trump’s Tariffs

🎢 Impact on Real Estate

Near-Record Housing Costs Put a Lid on Pending Sales, Even as Early-Stage Demand Picks Up

• The typical monthly housing payment has soared to $2,793—just shy of an all-time high— driven by a 3.3% year-over-year rise in median home-sale prices and mortgage rates averaging 6.65%, more than double the pandemic-era lows. (Source: Redfin)

• Home tours are accelerating: Redfin’s Homebuyer Demand Index hit a three-month high, while ShowingTime data shows home showings are rising faster than in 2024, signaling that potential buyers are engaging more—though many remain hesitant to purchase amid affordability concerns.

• Pending home sales fell 5.2% year-over-year for the third consecutive month, underscoring a mismatch between rising buyer interest and follow-through—though improving mortgage applications and new listings (up 5.5%) suggest possible momentum shifts heading into spring.

🎙️ RE Spotlight

Top 10 Best Cities for Working Women in 2025: Data-Backed Insights on Equity, Income, and Opportunity

• Minneapolis ranks #1 for working women in 2025, with a high female homeownership rate of 91.71%, 26.32% women-owned businesses, and a community satisfaction rate of 55.57% in dating, highlighting both economic strength and quality of life.

• Raleigh, NC boasts 47% women-owned businesses and an 88% female college graduation rate, showing strong support for women in education and entrepreneurship—despite a 19% gender income gap compared to male counterparts.

• Washington, DC leads with a $70,000 median female income (highest among top cities), a 44% representation of female physicians, and a 90% female college graduation rate, exemplifying economic opportunity and professional growth for women.

Existing Home Sales Increased in February

• Existing home sales rose 4.2% in February to 4.26 million units (SAAR), the second-highest monthly level since March 2024, as buyers responded to improving inventory and a slight decline in mortgage rates, per National Association of Realtors data.

• Inventory increased 17% year-over-year to 1.24 million homes, but supply remains below the 4.5–6 months needed for a balanced market. February’s 3.5-months’ supply underscores ongoing housing shortages and the pressing need for new construction.

• The median existing home price climbed 3.8% year-over-year to $398,400, marking 20 consecutive months of price growth. With mortgage rates expected to stay above 6% in 2025, affordability challenges and limited supply are likely to keep sales subdued.

🏰 RE Home Builder & Construction

‘Challenging’ Housing Market Is Squeezing Homebuilder Profit Margins, Top Construction Company Warns

• Lennar’s Q1 2025 profit reached $520 million on $7.6 billion in revenue, beating Wall Street estimates, as home orders rose 1% and deliveries jumped 6% year-over-year—despite mounting pressures from elevated mortgage rates and declining affordability. (Source: Lennar Earnings Call)

• Average home prices dropped 1% to $408,000 net of incentives, driven by Lennar’s continued use of mortgage rate buydowns to attract buyers. Gross margins slipped to 18.7% and are forecasted to decline further to 18% next quarter as affordability constraints persist.

• The U.S. housing supply deficit stands at 3.8 million units, and at the current pace, it could take more than 7 years to close the gap—intensifying the strain on homebuilders navigating rising costs, limited affordable inventory, and macroeconomic uncertainty. (Source: Realtor.com Economic Research)

🏕️ Niche-RE

Retailers Betting on High Income Households

• High-income households (>$200K) accounted for just 8.1% of total brick-and-mortar retail visits in 2024, down slightly from 8.2% in 2019, despite their strong spending power—highlighting the importance for retailers to enhance in-store experiences and premium services to attract this selective demographic. (Source: Placer 100 Dining and Retail Index)

• Walmart’s market share growth among households earning over $100K reflects a broader trend: even affluent consumers are price-sensitive, with value perception and premium services like memberships and delivery driving increased foot traffic from wealthier cohorts. (Source: Walmart, Placer.ai)

• Luxury retail’s reliance on ultra-wealthy shoppers has intensified, as “aspirational consumers” (income <$150K) decreased visits post-pandemic, requiring brands to double down on exclusive services—like private appointments and personal shopping—to maintain sales momentum in a shrinking pool of potential buyers.

The Rise of Smaller-Format Home Improvement Retailers

• Ace Hardware and Harbor Freight are leading visit share growth, expanding aggressively into smaller cities with 10,000–20,000 sq. ft. stores, while big-box rivals face challenges scaling 100,000+ sq. ft. locations in the same markets.

• Retail visits to smaller-format hardware stores surged by double digits year-over-year, correlating with U.S. migration patterns favoring smaller metros and rural regions, where operational efficiency and local presence offer key competitive advantages.

• This trend aligns with a broader industry shift toward compact formats across retail sectors; store downsizing helped major brands reduce overhead by 20–30% while enhancing proximity to high-growth customer bases in 2024.

🖼️ Chart-Tastic

👾 Interesting in Social

🌍 Dwelling of the Day

And…that's a wrap on this edition!

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