Homebuyers Are Gaining Control in More Markets—Here’s How to Use It

The housing market is gradually shifting in favor of buyers across a growing number of U.S. cities.

Nine additional metropolitan areas—including Atlanta, Houston, San Antonio, Riverside, Birmingham and Memphis—were recently identified as likely to become buyer’s markets by the end of summer 2026. The change reflects increasing inventory, longer selling times and softer competition among buyers.

For homebuyers, this can mean more choices, fewer bidding wars and greater room to negotiate.

However, buyer control does not mean every seller will accept a dramatically reduced offer. It means buyers generally have more leverage than they had when homes were selling immediately and receiving multiple offers.

The opportunity is real—but buyers need to know how to use it strategically.

What Does It Mean When Buyers “Have Control”?

A housing market favors buyers when the supply of available homes is stronger than the current level of demand.

In a seller’s market, buyers compete against one another. That competition can produce bidding wars, waived inspections and homes selling above the asking price.

In a buyer’s market, sellers compete for a smaller group of purchasers.

That can lead to:

• Longer listing periods

• More price reductions

• Fewer multiple-offer situations

• Greater acceptance of contingencies

• More seller concessions

• Better negotiating opportunities

Realtor.com’s Market Clock evaluates buyer and seller leverage across the 100 largest U.S. metropolitan areas using multiple housing indicators rather than relying on one number alone. Markets closer to the buyer side of the clock generally offer purchasers more negotiating power.

Why the Market Is Becoming More Buyer-Friendly

Several trends are working together to shift the balance.

More Homes Are Available

Housing inventory has been gradually recovering in many areas.

When buyers have more listings to compare, they can be more selective about price, condition, location and monthly expenses.

They are also less likely to make rushed decisions simply because another buyer may purchase the only available home.

Inventory conditions remain highly regional. The South and West have generally experienced stronger supply growth, while many parts of the Northeast and Midwest remain tighter.

Asking Prices Are Softening

The national median asking price fell 2.5% year over year in June 2026, marking the eighth consecutive annual decline and the largest decrease recorded in Realtor.com’s data history.

Slower asking-price growth suggests sellers are adjusting to current affordability conditions.

Realtor.com also reduced its 2026 home-price growth forecast from 2.2% to 1.2%, citing softer sales and asking prices. Because the expected increase trails inflation, buyers may receive a modest improvement in affordability in real terms.

Mortgage Rates Are Limiting Demand

Mortgage rates remain high enough to reduce what many buyers can comfortably afford.

That has forced buyers to become more disciplined and has removed some purchasers from the market entirely.

Homes that might have received ten offers several years ago may now receive only one or two—or none at all—if the price does not align with the property’s condition and monthly cost.

Sellers Are Becoming More Open to Concessions

Sellers increasingly recognize that successful transactions may require flexibility.

In a Realtor.com survey, 39% of prospective sellers expected to make concessions in 2026, compared with 30% in 2025.

That shift indicates sellers are beginning to understand that buyers have more alternatives and greater influence over contract terms.

Buyer Control Is Not the Same Everywhere

National housing headlines can be misleading because local markets behave differently.

A metropolitan area may generally favor buyers while certain neighborhoods, school districts or property types remain competitive.

For example, a city may have substantial condominium inventory but limited single-family homes. One suburb may have months of available supply, while another nearby community still experiences multiple offers.

The nine markets identified as approaching buyer conditions include:

• Atlanta

• Bakersfield

• Birmingham

• Honolulu

• Houston

• Memphis

• Riverside

• San Antonio

• Syracuse

These cities are moving toward greater buyer leverage, but that does not mean every home within them is negotiable to the same degree.

Buyers should evaluate the property and neighborhood—not just the metro-level headline.

What Buyers Can Negotiate

In a more balanced market, negotiation can involve much more than price.

Purchase Price

A home that has been listed for an extended period may have room for a lower offer.

Buyers should examine comparable sales, active competition, previous price reductions and the seller’s apparent motivation.

An offer should be supported by market evidence rather than submitted as an arbitrary discount.

Closing Costs

Seller-paid closing costs can reduce the buyer’s upfront cash requirement.

Depending on the loan program, sellers may be allowed to contribute toward lender charges, title fees, prepaid taxes, insurance and other eligible expenses.

For buyers with limited available cash, a closing-cost contribution may provide more immediate value than a modest reduction in the purchase price.

Mortgage-Rate Buydowns

A seller may contribute funds toward reducing the buyer’s mortgage rate.

A temporary buydown lowers the payment during the first several years. A permanent buydown reduces the interest rate for the entire loan term.

Buyers should compare the cost and benefit of a rate buydown with other options, including a lower price or larger closing-cost credit.

Repairs

Buyers may have more ability to request repairs after the home inspection.

This can include addressing roofing problems, electrical defects, plumbing leaks, HVAC concerns or other material conditions.

The inspection period should be used to evaluate significant risks, not to demand that the seller correct every small cosmetic issue.

Inspection and Financing Protections

During extremely competitive markets, some buyers waived inspections, appraisal contingencies or financing protections to make their offers more attractive.

A buyer-friendly market may allow purchasers to retain these safeguards without immediately losing the property to another bidder.

These contingencies can provide important protection when the home’s condition, value or financing changes before closing.

Closing and Possession Dates

Timing can also be negotiated.

A seller may value a quick closing, while another may need additional time to relocate. Buyers who understand the seller’s priorities may be able to create a stronger offer without increasing the price.

How to Tell Whether a Seller Is Likely to Negotiate

Several signs may indicate that a seller is becoming more flexible.

The Home Has Been Listed for a Long Time

Longer market time can reduce a seller’s confidence in the original asking price.

However, buyers should investigate why the property has not sold. The issue may involve pricing, condition, insurance costs, location or previous contract problems.

The Price Has Already Been Reduced

A price reduction suggests that the seller understands the original price did not generate enough demand.

Multiple reductions may create additional negotiating room, but they may also attract renewed buyer interest.

The Property Is Vacant

A vacant home may create ongoing carrying costs for the seller, including mortgage payments, insurance, taxes, utilities and maintenance.

This can increase the seller’s motivation to close.

The Listing Competes With Similar Homes

When several comparable properties are available in the same area, each seller must work harder to attract buyers.

This can create opportunities for lower prices, concessions or better contract terms.

The Home Needs Work

Properties requiring repairs or modernization may attract fewer buyers, particularly when move-in-ready alternatives are available.

A buyer willing to complete the work may gain negotiating leverage—but should accurately estimate renovation costs before submitting an offer.

Do Not Confuse Leverage With Permission to Make Bad Offers

Greater buyer power should be used intelligently.

An excessively low offer without supporting evidence may cause the seller to reject the proposal without negotiating.

Buyers should base their offer on:

• Recent comparable sales

• The home’s condition

• Time on market

• Competing listings

• Required repairs

• Local inventory

• Seller concessions

• Current buyer demand

A well-supported offer is more credible than one based only on the idea that the market favors buyers.

The goal is to secure fair value and favorable terms—not to create unnecessary conflict.

Good Homes Can Still Sell Quickly

Even in a buyer’s market, desirable properties can attract immediate interest.

A well-maintained home with strong presentation and realistic pricing may receive multiple offers, especially in a popular neighborhood.

Buyers should not assume that every property will remain available while they wait.

The advantage of a buyer-friendly market is the ability to make a more informed decision—not unlimited time.

Before shopping seriously, buyers should have:

• A current mortgage preapproval

• A clear monthly budget

• Estimated insurance costs

• Funds available for closing and emergencies

• A list of essential property requirements

• An understanding of local market conditions

Preparation allows buyers to move quickly when the right property appears without giving up necessary protections.

First-Time Buyers May Benefit the Most

First-time buyers have faced especially difficult conditions in recent years.

They generally do not have proceeds from a previous home sale, and they are more vulnerable to changes in mortgage rates and upfront expenses.

Starter-home inventory is now improving in some parts of the country. Realtor.com reported that approximately 220,000 more starter homes were available than at the market’s 2022 low, although inventory remains below 2019 levels and affordability is still challenging.

The South currently offers some of the strongest starter-home availability and negotiating leverage because builders increased supply during the housing boom.

For first-time buyers, greater leverage may make it easier to retain inspection protections, request closing assistance and compare multiple properties before deciding.

Buyers Still Need to Calculate the Complete Cost

A lower price does not automatically make a home affordable.

Buyers must also consider:

• Mortgage principal and interest

• Property taxes

• Homeowners insurance

• Flood insurance

• Mortgage insurance

• Homeowners association dues

• Condominium fees

• Utilities

• Maintenance

• Upcoming repairs

In Florida, insurance, association costs and special assessments can substantially affect the true monthly expense.

A property with a lower purchase price may cost more each month than a slightly more expensive home with lower insurance and community fees.

Negotiating the price is only one part of securing a good deal.

What This Means for Sellers

A market that favors buyers does not mean sellers cannot achieve a successful sale.

It means sellers must compete more intentionally.

Price Correctly From the Beginning

Buyers have more information and more alternatives.

An overpriced listing may be ignored rather than negotiated.

Pricing the home based on current comparable sales—not past market conditions or personal expectations—can attract stronger early interest.

Prepare the Property

Buyers who have multiple choices may be less willing to overlook deferred maintenance or poor presentation.

Cleaning, landscaping, minor repairs and professional photography can improve the home’s ability to compete.

Understand the Buyer’s Priorities

Some buyers care most about the purchase price. Others need closing-cost help, repairs or a lower mortgage payment.

A seller may be able to create value through contract terms without accepting the lowest possible price.

Respond to the Current Market

Strategies that worked during the pandemic-era housing boom may no longer be effective.

Sellers who remain flexible about pricing, repairs and concessions may have a stronger chance of reaching closing.

Should Buyers Wait for Even More Leverage?

Some buyers may consider waiting for prices or mortgage rates to fall further.

That approach involves uncertainty.

Prices may soften in some areas, remain stable in others or begin rising again. Mortgage rates could fall, but lower borrowing costs may bring more buyers back into the market and reduce current negotiating power.

No one can reliably identify the exact bottom of a housing cycle.

A better approach is to evaluate whether the right property is available at a total cost the buyer can manage.

A buyer who secures a fair price, seller concessions and appropriate protections may receive a strong overall deal—even if the market later becomes slightly more favorable.

The Kap Rate Living Perspective

The gradual shift toward buyers is creating meaningful opportunities.

More inventory, softer pricing and increased seller flexibility can help buyers negotiate stronger terms than were available several years ago.

But leverage is most valuable when combined with preparation.

At Kap Rate Living, we believe buyers should understand the local market, calculate the complete monthly expense and structure offers around the property’s actual condition and value.

The goal is not simply to pay less.

The goal is to purchase the right home with manageable financing, appropriate protections and terms that support the buyer’s long-term plans.

Buyers are gaining more control—but the strongest results will belong to those who know how to use it.

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Source: This article was independently written by Kap Rate Living using housing-market themes and research reported in Realtor.com’s July 21, 2026 article, “The 9 Cities Where Homebuyers Are About to Take Control,” along with Realtor.com’s Market Clock and 2026 housing-market research.

Disclaimer: This article is provided for general informational purposes only and does not constitute real estate, mortgage, financial, insurance, legal or tax advice. Housing conditions and negotiating opportunities vary by property and local market. Buyers and sellers should verify all information and consult qualified professionals before entering a real estate transaction.