Too Many Homes, Not Enough Buyers

The U.S. housing market has shifted in favor of buyers, with active listings now exceeding buyer demand by nearly 500,000, a record 34% imbalance according to Redfin. This rare surplus creates opportunities for buyers to negotiate and take their time, while sellers must adjust strategies to stay competitive in a more crowded marketplace.

Market Imbalance Creates New Dynamics

The U.S. housing market is undergoing a significant shift, and it’s tilting in favor of buyers. According to a recent report by Redfin, there are nearly 500,000 more sellers than buyers across the country—a striking 34% imbalance. This oversupply has created new dynamics, presenting a window of opportunity for buyers to gain negotiating power, while forcing sellers to rethink pricing and presentation strategies. After years of tight inventory and bidding wars, the landscape now requires a more patient, strategic approach for both sides.

Buyers Gain Leverage and Flexibility

For buyers, this shift means greater control and flexibility. Unlike the fast-paced market of recent years, where homes were often sold above asking price within days, buyers today can explore a wider range of listings and negotiate more favorable terms. With homes staying on the market longer, there is less pressure to act immediately and more room for due diligence. Buyers can request repairs, negotiate price reductions, and even ask sellers to contribute to closing costs or offer rate buy-downs—options that were rarely entertained during the previous seller-driven market. This environment is particularly beneficial for first-time homebuyers or those with flexible timelines, as it reduces the risk of overpaying or compromising on key features.

Sellers Must Adjust Pricing and Presentation

Sellers, on the other hand, face a more challenging reality. The days of multiple offers and bidding wars are largely over in most markets, and the presence of more competition means that simply listing a home is no longer enough. Pricing has become a critical factor. Homes that are priced too high may linger on the market, leading to eventual price cuts and reduced buyer interest. To attract attention, sellers must position their homes competitively from day one, ideally with guidance from a real estate professional who can analyze local trends and suggest a realistic listing price. Additionally, the visual presentation of a property has never been more important. Staging, professional photography, and well-crafted listings are necessary to make a home stand out in a crowded field.

Local Conditions Still Matter

Another important element is timing. While national data shows a general surplus of homes, some areas remain more competitive than others. Sellers should pay close attention to local conditions—school districts, job markets, and neighborhood desirability can still drive quick sales even in a buyer-leaning market. Understanding hyperlocal data and seasonal trends can help determine the best time to list or reduce a price. Similarly, buyers should not assume every area offers equal leverage; regions with lower inventory or strong demand may still require quick action and full-price offers. Navigating this market requires more than a glance at national headlines; it demands localized research and strategic decision-making.

Psychology and Strategy in a Changed Market

The psychological impact of this shift is also worth noting. In a seller’s market, buyers often acted out of urgency and fear of missing out. Now, that urgency has shifted toward sellers, who may feel pressure to make concessions or adjust expectations in order to secure a sale. Buyers, by contrast, are more willing to walk away if a property doesn’t meet their standards or budget. This reversal can lead to more balanced, thoughtful transactions—but only if both parties recognize the change in tone and negotiate in good faith.

Conclusion: Adapting to the New Reality

In conclusion, the current oversupply in the housing market marks a turning point that benefits buyers while challenging sellers to adapt. Buyers have regained the upper hand, with more room to explore, negotiate, and make informed decisions. Sellers, meanwhile, must be proactive, strategic, and responsive to evolving market expectations. Whether buying or selling, success now depends on preparation, flexibility, and a clear understanding of local market dynamics. By acknowledging and adjusting to this new reality, both sides can still achieve their real estate goals in 2025.

Jack C Bharat

Minority-Owned Business Enterprise (MBE) Certified with NYC

122-15 111th Avenue, S Ozone Park, NY 11420

Email: jackcbharat@gmail.com

Phone: (718) 805-6982

Jack C Bharat has been in the Real Estate Business since 2003. As a Realtor & Developer, his experience in buying dated, distress or fixer upper and renovated them back for resale can help both buyers and sellers in their transactions. Graduated in 1999 from Queens College (CUNY) Flushing, with a Bachelors of Arts Degree and in 2012 from LaGuardia College with Goldman Sachs 10K Small Business Certificate Of Entrepreneurship, Mr Bharat is always educating himself to stay current and sometimes ahead of Real Estate Market Trends. He is currently a Notary Public in the State of NY as well.
Mr Bharat has completed real estate projects in New York-Queens & Long Island, Florida-Ocala & Coral Springs & recently (Nov 2023) 8 Units Apt in Providence, Guyana. His passion for creating projects that blend functional modern architectural design in harmony with the natural environment are evident in his most recent commercial project in Providence Guyana, currently under initial phase of construction. Mr Bharat also is the CEO of Liberty Office Supplies & Equipment, Inc. A Certified Minority Business Enterprise (MBE) with New York City & New York State. Established in May 1999, Liberty provides a wide range of office supplies and work as a sourcing company for the Federal Government by being a GSA schedule holder.
Jack is Licensed as a Real Estate Broker in State of New York and in the State of Florida. He has knowledge in both residential and commercial sales. His motto “Working with Clients to achieve their real estate goals” is what drive him to be on top of his game. He is very involved in his community especially with social and educational issues. He is the proud sponsor of a local Cricket Team, Boxing and donates his time and money to various organizations that work with children, abuse victims and the elderly. He is cited by NYC Mayor’s Office, NYS Assembly and NYC Council for his leadership role in his community.
Mr Bharat has three daughters: Alicia who graduated with her Masters Of Science in Education from Queens College and is now a STEM Teacher with the NYC Dept of Education, Kayla who has recently (2024) graduated from CUNY School for Public Health with her Masters of Public Health in Environmental & Occupational Health Sciences & works as an Environmetal Health & Safety Specialist with Sloan Kettering Cancer Ctr. and Jessica who is currently enrolled as a senior at Queens College pursing her goal as a Dentist.