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Remember a few years back when sellers held all the power and buyers were stuck offering way over asking or waiving inspections just to get a chance at the house? In many markets, those days are behind us.
While it's going to vary by area, more metros are slowly shifting to favor buyers, and the market is starting to look a lot more like a two-way street again.
And that balance is something we haven't had in a while.
Whether you're buying or selling, here's what you need to know about what's changing and what it means for your move.
The Most Buyer-Friendly Market in Years
The national data tells an interesting story right now. According to Realtor.com:
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"The national housing market is balanced but gradually loosening as the cycle moves in a more buyer-friendly direction ..."
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That's because, over the past few years, more and more metros have been flipping back to more buyer-friendly terms as inventory's grown. And when you zoom in on the latest Realtor.com data for the top 50 metro markets over time, the trend becomes really clear (see graph below).
Back in 2021, almost all major metros were seller's markets. By the end of 2025, only 1 in 3 still favored sellers. That's an obvious shift.
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And that changes how the market is going to feel for everyone. Sellers shouldn't still expect 2021 conditions, but neither should buyers. At least, not generally speaking.
It's Not the Same Story Everywhere
That said, who has the power ultimately depends on where you live. While more metros are leaning buyer-friendly lately, there are still plenty of strong seller's markets right now, too.
It really comes down to how much housing supply and demand there is in your area. And that varies enormously by region.
Sun Belt cities like Austin, Tampa, and San Antonio saw major building booms in recent years, giving buyers more options and more negotiating room. Meanwhile, cities in the Northeast and Midwest - think Rochester, Hartford, and Buffalo - didn't see that same wave, so inventory stayed tight and competition stayed fierce. As Jeff Ostrowski, Housing Analyst at Bankrate, explains:
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"The formerly hot Sun Belt markets have cooled, while the Northeast and Midwest have stayed hot. The big driver here is construction activity. The softest markets now [have] experienced big booms that spurred new building, and that has led to a large supply of new and existing homes on the market in those places."
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Local, Practical Advice for Your Move
Real estate markets are cyclical and one visual I've always found powerful to share with clients is the below:
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From mid 2020 to 2024, our Central Valley (and most of the country) was in a prolonged seller's market. Beginning mid 2024, we started a slow shift towards a balanced market, which is where we find ourselves now, and it really has created opportunity for sellers and buyers.
For Sellers:
- We experienced strong appreciation from 2020 to 2024.
- In 2025, appreciation slowed significantly (down to 1-3%), but it was still positive.
- Year-to-date in 2026, our prices are flat, but they have not fallen.
- Sellers who sell today are still able to sell near the "top of the market".
For Buyers:
- Inventory/selection is up 40% from two years ago (about 2-5% from one year ago).
- Prices are relatively flat year-to-date.
- Interest rates are still lower than their heights last year.
- Competition has drastically decreased.
- Sellers are willing to negotiate.
Bottom Line
Real estate markets are behaving differently across the country, but locally, there are countless signs that tell us we have shifted towards a balanced market that offers opportunities for both buyers and sellers.
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