Kevin Ray Ward breaks down how the U.S. housing market hit a historic buyer's advantage in February, with 630,000 more sellers than buyers. Home prices are falling in metros like Miami, Nashville, and Austin as interest rates killed buyer demand while listings kept climbing.
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We have just entered a massive buyer's market. This just came out on Redfin News. There are 630,000 more home sellers than buyers, the biggest gap on record. This is like major, guys. We've been kind of moving toward a buyer's market now for a while. This is happening more and more across the country. But this is where we are right now. 46.3% more home sellers than buyers in the US housing market in February. That's the largest gap in records dating back to 2013, up from 29.8% a year earlier. So we've been in a buyer's market for a while, but this is now like getting more and more ridiculous. So here's what I want you to notice. Look at this graph right here. This is insane. This is the red. Are the number of buyers that are in the market at a given moment, going all the way back to 2014, okay? And then the blue line is the number of sellers, meaning listings on the market right now. So look at February, look what's been happening, okay? All the way back since 2021, when there were just tons of buyers, interest rates were low, and all of a sudden interest rates shot through the roof. So what happens? Number of buyers in the market dropped dramatically, But look what happened with listings. So after COVID, this is the COVID drop right here, okay? So COVID, buyers disappear, or everything shut down on COVID right here, right? March of 2020. But then buyers just shot through the roof. Tons of buyers in 2020, 2021, 2022, low interest rates, but nobody was selling. There was no inventory. So you were getting multiple offer situations on everything. And then back in '23, interest rates shot through the roof. You still have nobody selling, okay? Still nobody wanted to sell. They're all waiting. So your blue line here is all your sellers. And then starting in 2024, buyer demand continued to drop, has continued to drop consistently, and listings have continued to go up, up, up, up and away. And now as you've got more sellers and you've got— and sellers even dropped a little bit, right? Since September, December and let's see right here would be at the peak of October, a little over 2 million and it's dropped down to 1.989 million. But look what's happened to your buyers. They've continued to disappear. Okay. Uncertainty, interest rates up, layoffs, job displacement. People are in more debt than they have been in a long, long time. And so what is happening is we are now entering a sellers, a true buyer's market like never before. Now here's what that means. That means that if you're in one of the markets, now there's still some areas in the country where, um, there are fewer sellers and more buyers. It's more of a balanced market. It's still probably a little buyers, but not as much as you see in other areas. But here's the thing that's happening in your market. You need to be studying the stats in your market and what's happening in the market. But in your market, if it's going the wrong direction, And we are entering that heavy buyer's market. What does that mean? Prices are going to come down. And most importantly is for you to sell listings, get listings and sell them, which is the name of the game. Listing's the name of the game. You've got to get sellers. If you're going to do that, what do you have to do? You have to make sure they are priced right, okay? You got to make sure that your listings are priced right, and you've got to have the conversation with the sellers, which this is a great— this this right here, and I'm going to post the link to this article in this YouTube video. I'll post it in the description. You've got to be able to explain to your sellers, look, days of multiple offers and you being able to like get whatever price you want, it's over. You want to sell your house? Okay, you're going to have to price it realistically. You're going to have to pace it, price it based on what the market is actually doing right now. And if you try to overprice it, it's not going to sell, and you're probably going to be chasing the market down because in a lot of areas home prices are going to begin dropping. Okay, we're already seeing it in some areas, but other areas we're not. Now, the strongest buyer's market, okay, notice this, this is just so you know, the strongest buyer's market, more listings, less buyers, more available inventory. Miami, Nashville, Austin, West Palm Beach, San Antonio, all these are areas that where you're going to see prices start coming down. Now, there's some areas where still a strong seller's market, and all of that, but you just have to be aware. And I'm going to give you this, the link to this article. You can go in and check it out so that you can get knowledgeable and get educated on what is happening in your market. And you've got to be prepared for this. This is going to help give you the ammunition you need to be able to educate your sellers and lead them to make sure they price it right so that their listing sells. This is the time. So make sure, number one, click on the link below and do that and get this article. Okay. Number 2, if this is your first time here, make sure you subscribe to the channel. If you got value from this, make sure you subscribe to the channel and turn on your notifications so you get notified of new videos that come out every week. And if this is helpful for you, please give the video a thumbs up. But the most important thing right here is you get educated as an agent on what is actually happening in your market and you can have the honest, authoritative conversation with your sellers to make sure that they price it right. There's going to be, because of this, what's happening right here, there's another piece to this, and that is that more and more opportunities are going to become— you got, because what's happening right here, listings going up, up, up, up, okay? There's going to be more expired and canceled listings. So if you want to go out and get more listings, my friend, expired and canceled listings are about to explode over the next few months. So it's gonna be a great opportunity if you take advantage of it and be ready for it and just go out there and it's your opportunity to get more business, but you have to be prepared, you have to be knowledgeable, you have to have certainty and confidence so that you can lead the sellers to a right decision. If you want more on how to help you do that, go to YesMasters.com where we'll give you some other resources and other ways where you can help make sure that you are leading sellers to the right decision so you get more listings and more sales. That's all for now. I'll see you on the next video.
