For the first time in over a decade, home sellers in the United States now vastly outnumber buyers by some 500,000.
See the tweet below!
This shift marks a significant change in the real estate market dynamics that have long favored sellers, contributing to the frustration of many Americans.
As sellers struggle to close deals, buyer power is on the rise, reshaping the housing landscape.
The U.S. housing market is experiencing a historic shift with a surplus of nearly half a million more sellers than buyers, a phenomenon not seen since 2013.
As of April 2025, this shift signifies the largest recorded surplus of sellers, a stark contrast to the seller-favored market of recent years.
High mortgage rates, nearing 7%, coupled with a staggering national median home price of $414,000, are deterring new buyers from entering the market.
This elevated mortgage rate environment is particularly uninviting for potential buyers during what is traditionally a busy home shopping season.
A Bank of America survey reveals that 75% of potential buyers are waiting for both home prices and interest rates to decline before making a purchase.
Despite these barriers, home prices have astonishingly continued to rise for 22 consecutive months.
With homes lingering longer on the market, many sellers are being forced to reconsider their pricing strategies, The New York Post reports.
Real estate expert Karen Pohl noted, “Based upon previous spring selling seasons, I have noticed a lot of listings are sitting longer on the marketplace (this year),” indicating a needed shift in tactics for sellers wishing to stay competitive.
Sellers, slow to adapt to these new dynamics, are still hoping to sell at high prices.
Meanwhile, factors such as economic uncertainty, inflated home prices, and the easing of mortgage rate lock-in effects contribute to the ongoing market shift.
The Sun Belt and West Coast regions, which include 31 out of the top 50 metro areas, have become prime buyer’s markets.
Florida is feeling the pressure, with six of the top 10 buyer’s markets located there, driven by a homebuilding boom, natural disaster concerns, rising insurance costs, and high HOA fees.
The cooling trend, however, isn’t universal. Newark, NJ, stands out as a top seller’s market, where sellers nearly double the number of buyers.
National data indicates only 21.2% of home listings were affordable for middle-income buyers as of March, highlighting the financial strain on potential homeowners.
Elevated 30-year fixed mortgage rates, reaching 6.89%, further complicate the picture.
As we continue to witness this unprecedented shift, it’s clear that the rulebook has been rewritten.
Sellers must adjust to a more balanced market, or risk watching their properties sit unsold.
However, for buyers, particularly those willing to wait, the current climate represents an opportunity to take advantage of this changing landscape.
The U.S. Housing Market Has Nearly 500,000 More Sellers Than Buyers – the Most on Record pic.twitter.com/9bWyEn9Q0H
— TaraBull (@TaraBull808) May 31, 2025
