Homebuyers

Good News for Buyers: The Housing Market is Leaning More in Their Favor

Over the past couple of years, buying a home has often meant navigating a real estate market with rising prices and a limited number of homes for sale. Many would-be buyers took a step back, waiting for some sign that conditions might ease. Now, that signal may finally be here.

March brought a series of meaningful shifts to the housing market, according to a new report from Zillow. There are more homes for sale, slowing home price growth, and an increasing number of sellers are trimming their initial asking prices.

None of this amounts to a full-blown buyer’s market, but it does offer something that’s been in short supply lately: opportunity.

“There are substantially more homes on the market,” said Bruce Ailion of Atlanta’s RE/MAX Town and Country real estate agency. "This is creating a buying opportunity."

For buyers ready to reenter the market—or buy their first home—this spring is shaping up to be a more approachable season to shop, negotiate, and, potentially, seal the deal for a new home.

Here’s what today’s buyers need to know—and why they should feel a glimmer of hope for their home search.

Home prices hit the brakes

The spring market typically brings a burst of buyer activity, and with it, a sharp uptick in prices as competition heats up. But not this March.

The typical U.S. home value inched up just 0.2% in March—marking the slowest price growth for this time of year since at least 2018, according to Zillow’s report. The only other year that came close was 2019, when March prices rose a still speedier 0.7%.

For buyers, this cooldown is no small matter. The home price is going up slowly, giving buyers a bit of financial breathing room.

Housing stock is on the rise

If you’ve been frustrated by the lack of choices on the listing pages in recent years, here’s some more welcome news: More homes are finally hitting the market.

Roughly 375,000 homes were listed in March, up 9% year-over-year. That influx pushed total housing stock to 1.15 million, a 19% jump compared to this time in 2024.

The market is still below the levels seen before the COVID-19 pandemic, but the gains are hard to ignore.

More housing stock also means that buyers have a bit more power.

“As a buyer right now, you might encounter less competition, which means less bidding wars and potentially securing a lower price on a home,” said Seamus Nally, CEO of TurboTenant.

Home sellers are getting nervous—and cutting prices

Price cuts, once somewhat rare in a market that favored sellers, are becoming increasingly common.

Zillow’s data shows that 23.5% of all listings on its platform had a price cut in March—the highest share for any March since at least 2018. That’s a clear signal that sellers are adjusting their expectations.

“Prices in many markets characterized by rapid price growth are seeing equally dramatic price declines in prices,” said Nally. “This is creating a buying opportunity now that these markets are more affordable even though interest rates remain higher than in the recent past.”

Buyers have more time to decide whether to buy homes

There were more homes listed in March—and those properties are sitting on the market for longer. More homes have been on the market for more than a month.

Typically, homes spent an average 51 days on the market, according to the Zillow report. This gives buyers more time to check their options instead of hurrying through open houses and sending offers quickly.

“I’m seeing homes sit for weeks even months that used to sell in a matter of days,” said Ron Myers of Ron Buys Florida Homes.

When sellers start cutting prices, it shows they’re not getting what they hoped for and they need to compete with the new properties being offered at lower prices. Buyers now have a chance to take their time and even get a better deal in the process.

"Buyers are starting to ask for better terms and price reductions," added Myers. "Buyers are even negotiating for closing cost credits.”