Today's Market Is Creating Opportunities on Both Sides

Higher mortgage rates have cooled some buyer demand, but they're also creating opportunities that we haven't seen in several years. Whether you're thinking about buying, selling, or simply staying put, here are three trends worth watching:

BUYERS

More inventory = more negotiating power

More homes are hitting the market, and sellers are becoming increasingly willing to negotiate. In September, 20.8% of listings nationwide had a price reduction, the highest share since October 2022. Asking prices have also declined year-over-year for 11 consecutive months.

For buyers, that can mean less competition, more choices, and greater opportunity to negotiate on price, concessions, or other terms. And don't overlook new construction: nationally, newly built homes are now selling for less per square foot than existing homes, with some builders also offering incentives such as mortgage-rate buydowns.

SELLERS

Pricing and presentation matter more than ever

Buyers may have more leverage, but motivated buyers are still in the market. The key is meeting them where they are. With more inventory available, homes that are priced correctly, presented well, and strategically marketed from day one have a better opportunity to stand out.

For homeowners considering selling, substantial accumulated equity may also provide flexibility. The average mortgaged homeowner now has approximately $310,000 in equity, which can help create options when it comes to a down payment on the next home, renovations before selling, or navigating a move despite today's higher rates.

HOMEOWNERS

You may have more options than you realize

U.S. homeowners with mortgages are sitting on a record $17.9 trillion in home equity, and much of it remains untouched. For homeowners who secured a low mortgage rate, staying put may continue to make financial sense, but that equity can also create opportunities when life calls for a move.

THE TAKEAWAY

Today's market isn't simply a "buyer's market" or a "seller's market." It's a market where strategy matters. Buyers may have negotiating opportunities that were nearly impossible a few years ago, while sellers who have built significant equity may have more flexibility than higher mortgage rates initially suggest.

Curious what these trends mean for your home, neighborhood, or next move? I'm always happy to run the numbers and help you understand your options.