The US housing market is experiencing a historic imbalance, with sellers flooding the market and buyers sitting on their hands. According to Redfin, nearly half a million more homes were listed in April than bought, the largest gap since 2013. This surge has led to stalled home sales, particularly in the Southeast and Southwest.
Cities like Miami, Atlanta, Austin, Phoenix, and Tampa are seeing listings linger due to affordability challenges, higher mortgage rates, and buyer wariness. Sellers are reducing prices to entice cautious buyers, with some taking losses.
Despite rising national home prices, growth is cooling. US prices climbed 1.4% in May from a year earlier, down from 2% annual growth in April. Twenty-four of the 100 largest metro areas posted year-over-year price declines in May, mostly in the Sunbelt.
Buyers appear to be waiting for the market to correct itself, citing high mortgage rates and prices that have surged over 50% nationwide in the past five years. The gap between buyers and sellers is widening as many homeowners list out of necessity rather than opportunity.
Experts say the uneven recovery in housing supply following the 2006-2009 crash, combined with low pandemic-era mortgage rates, may be easing. New-home construction has picked up since the pandemic, and more homeowners are beginning to list due to job transfers, having children, or other reasons.
Source: https://nypost.com/2025/06/16/real-estate/there-are-500k-more-home-sellers-than-buyers-in-these-cities