At Cedar Ridge Management, we host quarterly Owner’s Calls to help you stay on top of the trends shaping your portfolio. In this Q3 2025 session, we brought together experts in lending, sales, and tax strategy to give you a clear picture of where the market is now — and where it’s heading.
Here are the highlights.
The Big Picture: Cycles & Timing
Warren Buffett’s advice continues to guide our perspective: “Be fearful when others are greedy and greedy when others are fearful.” Berkshire Hathaway recently bought $1 billion in homebuilder stocks, a strong vote of confidence in real estate.
We’re in a buyer’s market, and cycles typically last 3–5 years. That means conditions may stay challenging for a while — but smart investors who run the numbers can still find profitable deals.
Financing Insights with Drew Blakely (Loan Steady)
Rates have moved in a big way this quarter:
Conventional (primary): 6.3%
Conventional (investment): 6.9%
FHA: 5.9%
VA: 5.9%
Jumbo: 6.25%
For the first time in over a year, FHA and VA loans are starting with a 5. Mortgage purchase applications are also up 25% year-over-year, signaling renewed buyer activity.
👉 Takeaway: Rates already reflect expected Fed cuts. Don’t wait for “perfect timing” — underwrite deals based on today’s numbers.
Sales Trends with Sean McDonnell (Quiet Waters Realty)
Nationally:
Active listings have risen for 22 straight months.
Delistings are up 57%, showing sellers pulling back.
Median home price: $422,000, with 25 months of price growth.
Locally (YTD):
New Hanover County: $460K median (+2.2%)
Pender County: $455K median (+9%)
Onslow County: $300K median (+5.6%)
Luxury properties (>$1M) are the slowest-moving segment, with many sitting on the market for 6+ months.
👉 Takeaway: While national headlines focus on a slowdown, coastal North Carolina remains resilient — especially in mid-market homes.
Rental Market Update with Schuyler Witt (Cedar Ridge Management)
Nationally, rents are down ~0.5% YoY. Austin saw the steepest drop at -6%.
Locally in eastern NC, rents have slipped 2–10%, depending on property type. Townhomes face the most pressure due to competition from new apartments.
Current averages:
Jacksonville 3BR: $1,583
Hampstead 3BR: $1,795–2,100
Wilmington 3BR: $2,053
👉 Takeaway: More supply = longer vacancies for overpriced or poorly presented units. But well-priced, “hotel clean” homes still lease in under 30 days.
Tax Strategy with Justin Shore (The Real Estate CPA)
The Big Beautiful Bill, signed July 4, 2025, permanently changed the landscape for investors:
100% Bonus Depreciation is back (permanent).
Section 179 expanded → $2.5M expensing limit; $4M phase-out.
Trump Accounts → up to $5K/year for kids, invested tax-deferred in S&P 500.
No tax on tips & overtime → above-the-line deductions, capped at $25K.
Car loan interest deduction → up to $10K (2025–2028).
Opportunity Zones revamped → beginning in 2027, 10-year holds = tax-free gains.
Energy credits ending → EV (Sept 30, 2025), Solar (Dec 31, 2025), §179D (June 2026).
👉 Takeaway: The bill gives investors powerful new tools to accelerate write-offs, protect income, and plan for long-term tax-free gains.
Action Steps for Investors
Buying more rentals? Focus on 3-bedroom, 2-bath houses — they rent fastest.
Turning over units? Invest in presentation; new paint, 2 inch blinds, make it look nice. Homes that are priced right, hotel clean lease in under 30 days, even in a soft market.
Need a plan? Call one of our advisors, then work your plan with confidence.
Our experts:
Cedar Ridge Team: Carolyn (carolyn@cedarridgemgmt.com), Dominic (dominiic@cedarridgemgmt.com), Heath (heath@cedarridgemgmt.com)
Sales Market Data: Call Sean McDonnell, with Quiet Waters Realty Group to find your next investment property: 443-994-9722
Financing: Call Drew Blakely, Loan Steady for the best mortgage rates: 910-604-9355
Tax Strategy: Book a call with The Real Estate CPA here
👉 Bottom Line: Conditions may feel uncertain, but the data shows opportunities are everywhere for investors who stay disciplined. With the right financing, careful market selection, and smart tax strategy, you can protect cash flow today and position your portfolio for long-term growth
Check out the recorded webinar here:
👉 https://youtu.be/5C9kG1_wnjI
