- Homebuyers have more choices and more time to make decisions as the market has slowed this summer and sellers are increasingly adjusting their expectations to match, according to Redfin agents.
- Well-priced, move-in-ready homes are still selling quickly, showing that buyer demand is strong for desirable properties.
The U.S. housing market has settled into a slower pace this summer, giving buyers more time to shop and negotiate than they had during the bidding wars of recent years. High mortgage rates are weighing on demand, while rising inventory is giving buyers more leverage. It’s forcing many sellers to price carefully and offer concessions.
That doesn’t mean every market looks the same. Austin and Nashville strongly favor buyers, while buyers are competing for homes in parts of Chicago and San Diego.
“Late summer—especially this one when the housing market favors buyers in most places—offers the chance for people who are motivated to move this year to negotiate,” Chen Zhao, Redfin’s Head of Economics Research, said. “Buyers should use this time to explore the market more seriously, while sellers should consider what they’re willing to sacrifice to make a deal happen.”
Some sellers in these metro areas have found Redfin Early Access, which allows them to start marketing their home as “coming soon” before its official market debut, helpful in determining the right price, especially for unique homes for which there aren’t many comparable recent sales.
Austin: Buyers Benefit From More Choices
Austin now favors buyers after years of rapid homebuilding and easing migration into the region.
“Austin used to be a very seasonal market, but since the COVID-19 homebuying boom, it’s been much harder to predict where the market is headed,” David Love-Moxham, Redfin Premier agent in Austin, said. “It’s been an okay summer for buyers and sellers because sales have been steady, but nowhere near the pace Austin experienced in previous years.”
If buyers think a home is overpriced, they’ll simply move on because there are plenty of other options in the same neighborhood, David added.
Chicago: Discounts and Concessions Are Holding Deals Together
Chicago’s summer housing market has slowed compared with previous years, but demand is strong in neighborhoods like Evanston and Lincoln Park.
Daniel Close, Redfin Principal agent in Chicago, said today’s buyers generally fall into three groups: people who need to move because of life circumstances, people who have been searching since spring and early planners preparing to buy in 2027.
“Chicago is a market dominated by groups that are less likely to buy, so demand is softer, but homes are still selling,” he added. “It’s a balanced market and perhaps slightly a seller’s market because if a home is desirable, well-priced and well-marketed, it’s going to get multiple offers.”
In one recent transaction that’s still pending, Daniel negotiated $25,000 off the asking price of a 3-bedroom bungalow in Norwood Park, a very desirable and quiet neighborhood on the northwest side of Chicago.
Daniel was able to keep a deal together by advising that the condo seller he was representing offer concessions to the buyer, in the form of a brand new dishwasher and making several other repairs before closing.
Nashville: Buyers Gain the Upper Hand, Take Their Time
“The market tends to slow down as we head into August because people are wrapping up their summer vacations and getting their kids ready for school. It’s not abnormal to see a little bit of a slowdown,” Kristin Sanchez, Redfin Principal agent in Nashville, said.
“But this summer feels even slower; buyers are taking their time because they know they have the upper hand,” she added. “Buyers who are ready to make a move can often get a good deal because sellers are willing to negotiate.”
Kristin recently helped first-time buyers seal a deal for $345,000—$15,000 below the appraised value—with the seller covering closing costs and repairs on a 3-bedroom house in Brush Creek, about 25 miles north of downtown.
At the higher end, Kristin also recently helped transplants from San Diego negotiate $60,000 off the $1.15 million list price on this 4-bedroom, 3-bathroom house in the coveted Brenthaven community of Brentwood, which is just under 20 minutes away from downtown Nashville.
“A couple of years ago, these buyers likely would have competed against multiple offers with little negotiating power,” she said.
San Diego: Two Markets in One
Back in San Diego, the housing market is mixed, with move-in-ready single-family homes in short supply, while condos are staying on the market and prices are drifting down, John Copeland, Redfin Premier agent, said.
Even with mortgage rates high, homes in desirable coastal neighborhoods continue to sell quickly when priced appropriately.
John helped a buyer find a 3-bedroom 1,760 square feet house listed for just under $1.1 million in the highly sought-after Grantville community in San Diego’s Del Cerro neighborhood.
“The home was flipped, move-in ready and my clients fell in love with it. There were multiple offers, but we were able to outbid them without actually escalating much above the asking price and still negotiated repairs,” he said.
On the selling side, John helped his client sell a 2-bedroom house in Lakeside for $10,000 over the $775,000 asking price after less than two weeks on the market. As part of the deal, the seller agreed to deferred maintenance, meaning they would pay for plumbing updates and termite work at a later date.
