Homebuyers are facing far less competition in today’s housing market.
In January, there were an estimated 44% more home sellers than buyers nationwide—a gap of more than 600,000, according to a new Redfin report. That’s up sharply from a 30% gap a year earlier and marks the second-largest imbalance recorded since 2013. The widest gap occurred in December 2025, when sellers exceeded buyers by 45%.
Redfin classifies any market with at least 10% more sellers than buyers as a buyer’s market. By that measure, conditions have favored buyers since May 2024.
When inventory outweighs demand, buyers gain leverage. With more homes to choose from, purchasers are better positioned to negotiate on price and terms. However, affordability remains a challenge. Elevated home prices, mortgage rates, and broader economic uncertainty have sidelined many would-be buyers, contributing to the widening imbalance.
Buyer Activity Falls to Historic Low
The number of active homebuyers declined to an estimated 1.36 million in January, down 1% from the previous month and 8% from a year ago—marking the lowest level on record.
Sellers also pulled back slightly. The total number of homes listed dropped 1% month over month to 1.96 million, the largest monthly decline since June 2023 and the lowest level since February 2025. Still, listings were up 2% compared to last year.
High borrowing costs, job uncertainty, and economic headwinds have cooled buyer demand. Severe winter weather across much of the country in January may have also slowed activity. On the seller side, some homeowners are hesitating after seeing properties linger on the market or sell below asking price. Others are removing listings after receiving little to no interest.
The South Leads in Buyer-Friendly Conditions
Miami ranked as the strongest buyer’s market in January, with 159% more sellers than buyers. Fort Lauderdale (128%), Austin (124%), Nashville (120%), and San Antonio (114%) followed closely behind.
The pandemic-era migration boom drove significant population growth across the Sun Belt. Builders responded by accelerating construction, increasing housing supply in these markets. Now, demand has cooled while inventory remains elevated, tipping negotiating power toward buyers.
New construction plays a major role in shaping market conditions. Regions such as the South and West have historically issued more building permits than the Northeast and Midwest, contributing to greater supply levels today.
Florida and Texas continue to lead in new home development. In Florida, additional pressures—including rising insurance costs, increasing HOA fees, and heightened exposure to natural disasters—have prompted some homeowners to sell. In markets like Miami, a high concentration of condos further contributes to elevated inventory levels.
Overall, today’s housing market presents meaningful opportunities for buyers in many parts of the country—particularly in the South—while a handful of markets continue to favor sellers due to tighter supply and renewed demand.
The market is shifting — make sure you’re ready to move when the right home hits.
With more sellers competing for buyers, opportunity is on your side — but only if you’re prepared. Getting pre-approved gives you clarity on your budget, strengthens your negotiating power, and positions you to act quickly in a market where timing matters. Start your pre-approval with Jet Direct Mortgage and shop with confidence knowing exactly what you can afford.
Experienced Chief Operating Officer with a 26 + year demonstrated history of working in the banking industry. Skilled in all aspects of the residential mortgage market . Strong business development professional with a Bachelor of Science (BS) focused in Business Administration and Management, from St. Joseph College. A direct endorsement underwriter and a licensed Mortgage Loan Originator.