A significant shift in the US housing market is putting buyers back in control after years of favoring sellers. Recent data reveals more inventory, slower price growth, and increased buyer leverage—reshaping how homes are bought and sold in 2025.
Key Takeaways
- Buyer activity is at its lowest in nearly a decade, with sellers outnumbering buyers by over 35% in some markets.
- Home prices have flattened and more properties are lingering, giving buyers room to negotiate.
- Interest in fixer-uppers is surging as buyers seek affordable entry points.
From Seller’s Market to Buyer’s Opportunity
For much of the past decade, hot markets led to bidding wars, fast sales, and steep price hikes. This trend has now reversed. According to recent analyses, sellers currently outpace buyers by a wide margin—a gap far above the 10% threshold typically signaling a buyer’s market.
Cities nationwide are seeing homes stall on the market and pressure mounting on sellers to offer better terms. The median number of days homes remain listed has increased, indicating less urgency and competition among buyers.
Market Indicators: Inventory, Prices, and Timing
New data shows inventory remains higher than last year—up 15%—though still below pre-pandemic levels. Despite a slight month-over-month dip in new listings, the sheer number of homes for sale provides buyers with options they haven’t had in years.
Price appreciation is also cooling dramatically. The national median home value has stabilized, hovering around $364,000, and more than a quarter of listings are seeing price cuts. With the average home spending longer on the market, buyers can take their time evaluating options.
The Fixer-Upper Phenomenon
A notable shift has emerged: buyers are increasingly searching for fixer-uppers, drawn by the promise of affordability. In recent months, online searches and page views for such properties have soared, and listings labeled as fixer-uppers carry a median price far below the overall market average.
On average, a fixer-upper is around $200,000—offering a significant discount but requiring buyers to plan for renovation costs. Though the number of these homes is rising, demand still outpaces supply, as buyers look for creative paths to homeownership.
Strategies for Buyers and Sellers in 2025
- Buyers: Enjoy increased negotiating power, especially for homes needing work. There’s more time to conduct inspections and request concessions like price reductions and closing credits. For budget-sensitive buyers, pursuing fixer-uppers may offer the most attainable entry to the market.
- Sellers: The landscape demands flexibility. Cosmetic updates may not guarantee a higher price, and pricing homes realistically is crucial to avoid prolonged listings. Marketing transparently as a fixer-upper could attract more attention than costly presale renovations.
Looking Ahead: A More Balanced Market
As the year advances, market conditions are expected to remain favorable for buyers, with the high inventory and slower price growth likely continuing. While the frenzied pace of past years has waned, motivated buyers—including those willing to take on renovations—can find success in a recalibrated, more balanced housing market.