The U.S. housing market is hitting a turning point, and if you are a home seller, the pressure is getting real. Total listings have now reached a record-breaking $698 billion — a figure that sounds great until you look closer and realize what it really means: homes are sitting on the market longer, buyers are backing off, and prices are being forced down.
Let us break down what is really happening and what it means for you if you are planning to sell.
Why are homes not selling fast anymore?
Right now, there are just too many homes listed at once — and not enough people willing to buy at those prices.
- Redfin says total listings in the U.S. hit $698 billion, up 20.3% from last year.
- But instead of selling faster, homes are sitting longer. Many are stuck on the market for over two months.
- Buyers are backing off because prices are just too high, and mortgage rates, insurance, and taxes are adding more strain.
As Redfin’s chief economist Daryl Fairweather puts it:
“All these homes are listed for really high prices, which is why they are sitting on the market. But buyers cannot afford at these high prices, which is why they are backing off.”
Is the housing market becoming a buyer’s market?
Yes, it looks like things are shifting — and fast.
- Inventory is at a 5-year high. In April alone, the number of homes for sale jumped 16.7% compared to last year.
- With more choices available, buyers no longer have to compete in bidding wars.
- That gives them more room to negotiate, making it harder for sellers to call the shots.
Noel Roberts, founder of real estate firm Pending, says sellers will need to get smarter.
“Sellers can no longer rely on scarcity to do the heavy lifting… They will need to run smarter, more strategic playbooks.”
Why sellers are being forced to lower prices
Many homeowners bought when rates were much lower, and they got used to the idea that homes just keep going up in value. But the game has changed.
- Today’s average mortgage rate is around 6.85%, compared to the lower rates most sellers have locked in.
- Over 82% of homeowners have rates under 6%, so selling now means giving up that cheap mortgage.
- Unless a seller is truly motivated, they are holding out for prices that buyers just are not willing to pay.
Still, Fairweather believes reality is catching up:
“I think more homeowners are going to have to bite the bullet and lower their prices,” she says.
Should you wait to sell or act now?
It depends on your situation. If you absolutely need to move, now might be the time to be realistic and competitive. Waiting might not improve your chances — especially if inventory keeps rising and buyers stay cautious.
- Price your home right from the start.
- Make sure your listing stands out with great photos and clean presentation.
- Know that buyers today want value — not hype.
In some areas, this could be your only chance in years to sell on good terms. But to make it happen, you have to meet buyers where they are — not where you wish they were.
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