New data from Redfin shows that there were about 47% more home sellers than buyers in the market in December, with home prices up just 2.2% year-over-year.
In December, the number of home sellers outnumbering home buyers reached a new record, giving buyers even more leverage in transactions.
Redfin reports that there were about 47% more home sellers than buyers last month (or about 631,535 more people). This is the largest difference seen between the two groups since 2013. It also increased by 7.1 points from the previous month and by 22.2 points from the previous year. Additionally, the monthly increase in the number of home sellers in December was the largest since September 2022.
This difference is well above the threshold used by Redfin to define a buyer’s market (at least 10% more sellers than buyers), so December’s market was considered to be in solid buyer’s market territory.
Despite this discrepancy in numbers, high home ownership costs and economic uncertainty continue to push some buyers to the sidelines.
“Some home sellers are struggling because there isn’t enough demand for housing to match supply, which has reached an all-time high this year,” Dallas Redfin Premier agent Connie Darnall said in the firm’s report. “There is one seller who overpaid for a home during the peak of the pandemic market and is now taking a 10% loss. He is realistic about the fact that the market has changed in favor of buyers, but many sellers are in denial and won’t change the price. If you don’t price your home reasonably, it will remain on the market.”
In the Dallas market, which has experienced a construction boom in recent years, sellers currently outnumber buyers by about 86.8% in the market, according to Redfin. This contributed to a 7.6% decline in median home sales prices over the past year.
On a national level, home prices rose just 0.1% month-over-month in December and 2.2% year-over-year, according to the Redfin Home Price Index, an index that measures how home sales prices have changed since the last sale. This small annual price increase was the lowest home price growth since 2012.
House price growth has slowed, but it has not completely stopped. As home buyers continued to withdraw from the market, sellers also withdrew from the market by a slight 1.1% compared to the previous month.
Looking ahead to 2026, affordability is expected to improve, with mortgage rates falling and typical monthly home payments at their lowest level in two years as of early January.
“The steady upward trend in home prices was established in 2025 and will continue in 2026,” Chen Zhao, head of economic research at Redfin, said in the company’s report. “While house prices are still at historically very high levels, the fact that house prices are rising steadily at a slow and steady pace should make the market a little more welcoming for homebuyers, who are already dominant in most parts of the country.”
The number of home buyers nationwide in December decreased by 5.9% from the previous month, which was the largest decline since March 2023 and the lowest since 2013.
Sunbelt cities are currently the strongest buyer’s markets after an increase in construction during the pandemic. Buyers flocked to these cities as they became eligible for more flexible work-from-home policies. However, more buyers are now pricing from these regions, resulting in an oversupply.
Thirty-six of the 50 most populous metropolitan areas in the U.S. qualified for a buyer’s market in December, according to a Redfin tally. Nine of these largest cities were equilibrium markets and five were sellers’ markets. Seller’s markets were primarily in the Midwest and East Coast.
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