![Is It Still a Seller's Market? Here's What the Data Says. 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 YearsThe national data tells an interesting story right now. According to Realtor.com: "The national housing market is balanced but gradually loosening as the cycle moves in a more buyer-friendly direction . . ." 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. 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 EverywhereThat 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: “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.” Practical Advice for Your MoveTo find out who has the power in your local market, talk to an agent. Because knowing what’s happening locally is going to be the key to setting the right strategy for your move. If the market is working in your favor, great. Lean in and use it to your benefit. But if it’s not, all hope isn’t lost. Your agent can help you figure out how to approach any market. Here's some practical advice if there’s a mismatch between your goal and local market conditions. If you're buying in a seller's market: - Get pre-approved before you start shopping. It shows sellers you're serious. - Be ready to act fast when the right home hits the market. - Consider offering a quick closing date or flexible terms. - Work closely with your agent to craft a competitive offer. If you're selling in a buyer's market: - Price it right from day one. Overpricing will cost you time and money. - Focus on curb appeal and staging to stand out in areas with more inventory. - Be open to offering incentives, like covering closing costs or a home warranty. - Expect buyers to negotiate and be ready to be flexible. Bottom LineRight now, local markets are moving in very different directions. And your strategy as a buyer or seller should reflect your market. Is It Still a Seller's Market? Here's What the Data Says.](https://alstonhomes.com/wp-content/uploads/6-18-26-218x150.png "Is It Still a Seller’s Market? Here’s What the Data Says.")
Over the past year, the pandemic made it challenging for some homeowners to make their mortgage payments. Thankfully, the government initiated a forbearance program to provide much-needed support. Unless they’re extended once again, some of these plans and the corresponding mortgage payment deferral options will expire soon. That said, there’s still time to request assistance. If your loan is backed by HUD/FHA, USDA, or VA, you can apply for initial forbearance by June 30, 2021.
Recently, the Consumer Finance Institute of the Federal Reserve Bank of Philadelphia surveyed a national sample of 1,172 homeowners with mortgages. They discussed their familiarity with and understanding of lender accommodations that might be available under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The results indicate that some borrowers didn’t take advantage of the support available through forbearance:
“Most borrowers who had not used forbearance during the pandemic reported that it was because they simply did not need it. However, among the remainder, a lack of understanding about available accommodations may also be playing a role. Around 2 out of 3 in this group reported not seeking forbearance because they were unsure or pessimistic about whether they would qualify — even though a high fraction of borrowers are eligible for forbearance under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.”
Here are some of the reasons why those borrowers didn’t opt for forbearance:
- They were concerned forbearance may be costly
- They didn’t understand how to request forbearance
- They didn’t understand how the plans worked and/or whether they would qualify
If you have similar questions or concerns, the following answers may ease your fears.
If you’re concerned forbearance may be costly:
The Consumer Financial Protection Bureau (CFPB) explains:
“For most loans, there will be no additional fees, penalties, or additional interest (beyond scheduled amounts) added to your account, and you do not need to submit additional documentation to qualify. You can simply tell your servicer that you have a pandemic-related financial hardship.”
It’s important to contact your mortgage provider (the company you send your mortgage payment to every month) to explain your current situation and determine the best plan available for your needs.
If you’re not sure how to request forbearance:
Here are 5 steps to follow when requesting mortgage forbearance:
- Find the contact information for your servicer
- Call your servicer
- Ask if you’re eligible for protection under the CARES Act
- Ask what happens when your forbearance period ends
- Ask your servicer to provide the agreement in writing
If you don’t understand how the plans work and/or whether you will qualify:
This is how the Consumer Financial Protection Bureau (CFPB) explains the program:
“Forbearance is when your mortgage servicer or lender allows you to pause or reduce your mortgage payments for a limited time while you build back your finances…
Forbearance doesn’t mean your payments are forgiven or erased. You are still obligated to repay any missed payments, which, in most cases, may be repaid over time or when you refinance or sell your home. Before the end of the forbearance, your servicer will contact you about how to repay the missed payments.”
The CFPB also addresses who qualifies for forbearance relief:
“You may have a right to a COVID hardship forbearance if:
- You experience financial hardship directly or indirectly due to the coronavirus pandemic.
- You have a federally backed mortgage, which includes HUD/FHA, VA, USDA, Fannie Mae, and Freddie Mac loans.
For mortgages that are not federally backed, servicers may offer similar forbearance options. If you are struggling to make your mortgage payments, servicers are generally required to discuss payment relief options with you, whether or not your loan is federally backed.”
Bottom Line
Like many Americans, your home may be your biggest asset. By acting quickly, you might be able to take advantage of critical relief options to help keep you in your home. Even if you tried to apply at the beginning of the pandemic and for some reason it didn’t work out, try again. Contact your mortgage provider today to determine if you qualify. If you have additional concerns, let’s connect to answer your questions and determine if there are other mortgage relief options in our area as well.
