In December, it was estimated that the number of home sellers in the U.S. housing market exceeded that of buyers by 47.1% (or 631,535 more in absolute numbers). This is based on a fresh report by Redfin, the real estate brokerage powered by Rocket.
That’s the largest gap in records dating back to 2013. It has risen by 7.1 percentage points compared to the previous month, marking the largest monthly rise since September 2022, and has increased by 22.2 percentage points relative to the same time last year.
Note: Redfin defines a market with over 10% more sellers than buyers as a buyer’s market. According to this definition, the market has been a buyer’s market since May 2024.
When sellers outnumber buyers, buyers typically hold the negotiating power because they have a lot of options to choose from. For this reason, a market where the number of sellers greatly exceeds that of buyers is regarded as a buyer’s market. Naturally, it’s only a buyer’s market for those with the financial means to purchase. High housing costs and economic uncertainty have caused many house hunters to retreat, creating an imbalance of buyers and sellers.
“Some home sellers are underwater because Dallas does not have enough housing demand to meet supply, which hit a record high this year,” said local Redfin Premier real estate agent Connie Durnal. “I have one seller who overpaid for his home at the peak of the pandemic market and is now taking a 10% loss. He’s being realistic about the fact that the market has shifted in buyers’ favor, but a lot of sellers are in denial and won’t budge on price. If you don’t price your home reasonably, it will sit on the market.”
Dallas had an estimated 86.8% more sellers than buyers in the market last month—one of the biggest imbalances among the 50 most populous U.S. metropolitan areas. That may be partly because the area has seen so much housing construction in recent years. In December, Dallas experienced a year-over-year drop in median home sale prices of 7.6%, the most significant decrease among the top 50 metropolitan areas. Nationally, home prices rose 0.1%—the slowest growth since June 2023.
Number of Homebuyers Drops the Most Since 2023, Reaching a Record Low
The number of homebuyers in the market dropped 5.9% month over month in December to an estimated 1.34 million. That’s the largest drop since March 2023 and the lowest level in records dating back to 2013.
While sellers have also been pulling back, they haven’t done so as rapidly. The number of sellers in the market fell 1.1% month-over-month to an estimated 1.97 million. Since June 2023, this has been the biggest drop, and since February 2025, it has been the lowest level. On a year-over-year basis, the number of buyers fell 11.8%, and the number of sellers rose 3.9%.
Due to persistently elevated home prices and mortgage rates, layoffs, and growing economic and political uncertainty, homebuyers are retreating. Sellers, many of whom are buyers themselves, are backing off in response to lackluster demand for their homes. Some sellers are delisting after watching their homes sit on the market for months with zero bites from buyers, while others are choosing not to list at all after seeing nearby homes sell for below the asking price.
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