![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.")
Hidden Truth: What Foreclosure Headlines Aren’t Telling Santa Clara
Timothy Alston | Broker
Aegis Luxury Real Estate · DRE# 01328224
Published
May 13, 2026
Sports, tech, and community
Foreclosure headlines are rising, but they are not telling the full story. Today’s numbers are still below pre-pandemic norms from 2017 through 2019, and the average homeowner is sitting on roughly $295,000 in home equity, a buffer that simply did not exist in 2008. The Santa Clara market reflects this national reality: this is normalization, not a crisis.
You know how you scroll past a headline and your stomach drops a little? Something like “foreclosures surging” and suddenly your mind goes straight to 2008, empty streets, neighbors losing everything. A lot of people in Santa Clara are carrying that same quiet worry right now. And honestly, who could blame them?
But here is the part most people have not stopped to think about yet. What if the foreclosure headlines aren’t telling you the most important part of the story?
What Are Foreclosure Headlines Actually Measuring?
Have you ever stopped to think about what a foreclosure filing actually means? It does not mean a homeowner lost their house. It means a lender started a process. There is a big difference between those two things, and foreclosure headlines almost never explain it.
According to ATTOM, foreclosure filings are up 26% compared to last year, and they have climbed for five straight quarters. That sounds alarming. But here is the question worth sitting with: compared to what baseline?
The years 2020 and 2021 saw near-zero foreclosure activity because the federal government placed a moratorium on them during the pandemic. Those years were a deliberate exception. Using them as your baseline is like comparing today’s traffic to a city-wide snow day and calling the roads unusually crowded.
Compare today’s numbers to 2017, 2018, and 2019, the last years the market ran normally. Today’s foreclosure filings are still lower than those years. We have not even returned to what used to be typical. Does that change how you read those headlines?
Why Foreclosure Headlines Aren’t Telling the Equity Story
Here is where the foreclosure headlines aren’t telling you something that actually matters for your situation. Look at the data carefully and you will notice three distinct lines: total filings, foreclosure starts, and completed foreclosures. The completed foreclosure line stays well below the other two. That gap is the real story.
Most homeowners who enter the foreclosure process never lose their home. They find another way out first. And the primary reason for that today is equity.
The average homeowner currently holds roughly $295,000 in home equity, according to Cotality. In 2008, many homeowners owed more than their properties were worth. Selling was not an option. Foreclosure was often the only door available.
What would it mean for your situation if you had $200,000 or more in equity right now? If you faced hardship, you could sell, pay off your mortgage, protect your credit, and potentially walk away with money. That is a fundamentally different position than what homeowners faced during the last crash. Can you see how that changes the entire picture?
Santa Clara real estate has appreciated steadily over the past several years. Homeowners in the area who purchased before 2022 are likely sitting on substantial equity positions that give them options most 2008 homeowners simply did not have.
What 2008 Actually Looked Like Compared to Today
If you look at ATTOM’s foreclosure data going back to 2005, the 2008 crisis is unmistakable. The lines spike dramatically. Today’s numbers, even with the recent increase, are nowhere close to that level.
Homes in Santa Clara and across the broader Bay Area reflect a market that is normalizing, not unraveling. Inventory is still constrained. Buyer demand, while softer than the peak, has not collapsed. Loan underwriting standards today are far stricter than they were in the mid-2000s, which means the pool of distressed borrowers is a fraction of what it was back then.
What would it take for you to feel confident distinguishing between a market correction and an actual crash? If the answer involves seeing the data in context rather than through a headline, you are already asking the right questions.
If You Are Behind on Payments, What Are Your Real Options?
Maybe this article is not just academic for you. Maybe you are behind on a payment or two and you are quietly wondering what comes next. How long have you been carrying that stress without talking to anyone about it?
Here is something worth knowing. Lenders would rather work with you than foreclose. Foreclosure is expensive and time-consuming for them too. Most lenders will discuss repayment plans, forbearance arrangements, or loan modifications before they push toward foreclosure. The earlier you reach out, the more options remain open.
And if selling makes more sense for your situation, knowing your home’s current value is the first step. If your equity covers what you owe plus closing costs, you may be able to sell, settle your debt, and protect your financial footing without the foreclosure process ever completing.
What happens if you wait six more months without exploring those options? In some states, the foreclosure timeline moves faster than most people expect. Getting ahead of it gives you and your lender the most room to find a workable path forward.
If you are wondering what your Santa Clara homes for sale value looks like right now, that conversation starts with a straightforward look at current market data, not a sales pitch.
What This Means for Buyers Watching from the Sidelines
Are you waiting for a wave of foreclosures to flood the market with cheap homes? That was a reasonable strategy in 2009. Based on today’s equity picture, that wave is unlikely to materialize the way it did then. The homeowners who might face hardship today have options that 2008 homeowners did not.
What does that mean for someone waiting on the sidelines in the Santa Clara market? It might mean the discount you are hoping for never arrives. And it might mean that every month of waiting is a month of rent paid with no equity building in return.
What would it mean for your financial picture five years from now if you had started building equity today instead of waiting for a crash that the data suggests is not coming?
If that question landed somewhere, it might be worth a conversation. Not a pitch. Not pressure. Just a straightforward look at where you are, what your options actually are, and what makes sense for your specific situation. Timothy Alston, Broker, can be reached at (408) 207-4593. The next step is yours to take, whenever you are ready.
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Broker · DRE# 01328224
Aegis Luxury Real Estate
Harvard Business School Online, Certified Master Negotiation
23+ Years Silicon Valley Real Estate Experience
Retired Military Veteran
Copyright © 2026 MLSListings Inc. All rights reserved.
The data relating to real estate for sale on this display comes in part from the Internet Data Exchange program of the MLSListings™ MLS system. Real estate listings held by brokerage firms other than Aegis Luxury Real Estate are marked with the Internet Data Exchange icon and detailed information about them includes the names of the listing brokers and listing agents.
Based on information from the MLSListings MLS as of June 11, 2026. All data, including all measurements and calculations of area, is obtained from various sources and has not been, and will not be, verified by broker or MLS. All information should be independently reviewed and verified for accuracy. Properties may or may not be listed by the office/agent presenting the information.
These statistics are generated using information from the MLSListings Inc. multiple listing service, but have not been verified and are not guaranteed. MLSListings Inc. disclaims any responsibility for the accuracy and reliability of these statistics. This information should not be relied upon for real estate transaction decisions.
Data updated every 15 minutes. Visit www.MLSListings.com for more information.
Information provided is for general informational purposes only. Equal Housing Opportunity. If you are currently working with a real estate agent, this is not intended as a solicitation.
Aegis Luxury Real Estate · Timothy Alston, Broker, DRE# 01328224 · 10080 N. Wolfe Rd Ste SW3-200, Cupertino CA 95014 · (408) 207-4593
Last updated: July 01, 2026 | Data reflects July 2026 MLS statistics
