While your low mortgage rate might be comfortable, it doesn’t make up for being cramped, having stairs your knees can’t handle, or living miles away from family. Real-life needs consistently push sellers off the fence, regardless of where mortgage rates sit.

Recent housing data from Freddie Mac shows the share of homeowners holding mortgage rates below 3% continues to drop as life changes demand relocation. Consequently, more homeowners are comfortably taking on current market mortgage rates to secure the right home.

How Changing Mortgage Rates Impact Chicago Home Sellers

Why are homeowners across Chicago neighborhoods willing to trade their ultra-low rates? A national seller study by Realtor.com revealed that nearly 80% of active sellers move out of personal necessity rather than market timing. The top drivers include:

• Needing More Space: Welcoming a new child, setting up dedicated work-from-home offices, or hosting aging parents in two-flat and single-family layouts.
• Downsizing for Simplicity: The kids have moved out, and maintaining a large home is exhausting. Downsizing cuts utility bills, maintenance overhead, and property taxes.
• Closer to Family: Relocating across town or near Chicago suburbs like Oak Park or Evanston to be near grandchildren or support older family members.
• Major Life & Career Changes: Job relocations, remote-work transitions, marriage, or divorce frequently require a fresh residential start.

Why Builders Compete on Mortgage Rates and Buyer Payments

Once you decide to sell, elevated mortgage rates introduce another variable: buyer affordability. Today’s buyers calculate every purchase down to the monthly payment, especially when factoring in Cook County property taxes.

In many suburban and outlying areas, homebuilders are actively winning over buyers by offering upfront incentives. According to data reported by HousingWire, new-home sales have held steady because builders frequently offer mortgage rate buydowns, which temporarily or permanently lower the buyer’s interest rate and monthly payments.

Navigating Shifting Mortgage Rates as an Existing Chicago Home Seller

You don’t need to be a large corporation or builder to attract motivated buyers in a higher-rate climate. Resale homes in Chicago offer distinct advantages that new suburban tract homes cannot replicate:

• Unmatched Neighborhood Amenities: Chicago’s established communities—from Bronzeville and Hyde Park to the South Loop and Beverly—offer walkability, historic architecture, public transit, and vibrant cultural hubs that outlying new builds lack.
• Seller-Paid Rate Buydowns: Sellers can offer closing concessions that fund a 2-1 or 1-0 mortgage rate buydown for the buyer. This lowers the buyer’s initial monthly payments without requiring you to make massive cuts to your headline sales price. Learn more about offering buyer closing cost concessions.
• Strategic Initial Pricing: In an affordability-focused market, overpricing leads to immediate stagnation. Pricing accurately against recent neighborhood comps sparks immediate interest. Explore our guide on pricing your house right in today’s market.

Planning Your Chicago Home Sale in Today’s Rate Environment

A low mortgage rate is great on paper, but it cannot fix a home that no longer matches your lifestyle. At the same time, navigating current mortgage rates requires smart positioning and an understanding of what buyers need to make their monthly budget work.

If you are ready to explore your options, connect with our licensed real estate agents in Chicago, IL for a custom equity review and strategic pricing consultation.

The post Why More Sellers Are Choosing To Move, Even with Today’s Rates appeared first on KM Realty Group LLC.

One group of buyers hesitates out of fear that home values might collapse. Meanwhile, a recent survey from Clever found nearly 58% of Gen Z buyers actually hope for a drop to make homeownership affordable.

Smart buyers and sellers base their real estate decisions on reliable data rather than online speculation.

Every quarter, Fannie Mae surveys over 100 housing economists and market strategists for their Home Price Expectations Survey. Here is what their newest numbers reveal about the market outlook.

Is an Actual Housing Crash Forecast by Experts?

Fannie Mae’s survey of over 100 housing economists does not forecast a housing crash. The expert panel projects cumulative home price growth of 14.7% through 2030, with even the most conservative analysts anticipating steady 6.6% growth nationwide.

Simply put: the institutional analysts studying inventory and mortgage data do not see a crash on the horizon.

Key Findings from the 5-Year Housing Market Forecast

The panel includes leading economists and financial researchers. Their consensus data points to three clear conclusions regarding this housing crash forecast:

• Continuous Annual Growth: Economists expect home prices to rise each year through at least 2030.
• 5-Year Average: The nationwide consensus indicates an average price increase of 14.7%.
• Conservative Baseline: Even the most bearish analysts surveyed anticipate prices will climb roughly 6.6% by late 2030.

Waiting for prices to drop significantly often means waiting a very long time—and likely paying a higher purchase price down the road.

Near-Term vs. Long-Term Housing Crash Forecast Adjustments

Because Fannie Mae updates this survey quarterly, we can track how economist sentiment evolves over time.

A year ago, the panel anticipated 2.1% price growth for this year. Today, analysts raised that forecast to 2.5%, reflecting resilient buyer demand.

Projections for 2027 through 2029 reflect slightly slower, more normalized appreciation, matching broader financing trends published by Freddie Mac.

A calmer growth pace does not signal a crash. Instead, it indicates a market returning to balance after years of sharp volatility.

What This Housing Crash Forecast Means for Your Equity

Percentages matter, but actual dollars tell the real story for household wealth.

Based on the 14.7% five-year projection, a $400,000 home purchased today gains roughly $58,000 in equity strictly from market appreciation.

Homeowners build this equity simply by living in the property, completely separate from monthly principal reduction.

Macroeconomic Data vs. Local Market Trends

National reports offer helpful economic context, but buyers and sellers must evaluate local realities rather than relying solely on a nationwide housing crash forecast.

Broad surveys cannot capture neighborhood inventory shortages, local school district appeal, or regional property tax adjustments. These hyper-local dynamics determine whether values in your community rise faster or slower than national averages.

If you currently own a property, discovering what your home is worth in today’s active market provides far more insight than broad national headlines.

For buyers entering the market, reviewing current homes for sale shows what local inventory and pricing look like right now.

Frequently Asked Questions About the Housing Crash Forecast

Will home prices drop significantly over the next few years?

Major institutional forecasters evaluating the latest housing crash forecast data do not anticipate widespread price drops. While price growth has moderated from previous peak years, tight inventory and ongoing buyer demand continue to support home values nationwide.

Is it better to buy now or wait for a price crash?

Waiting for a crash that economists do not foresee risks paying higher purchase prices later. With five-year projections averaging 14.7% cumulative gains, delaying a move can lead to missed equity accumulation.

Get Local Clarity with KM Realty Group LLC

Macroeconomic surveys outline the national landscape, but real estate success comes down to your micro-market and your timing.

Whether you plan to buy, sell, or simply review market conditions across the Greater Chicago area, our team provides straightforward guidance backed by real local data.

Contact KM Realty Group LLC today or call our Chicago office directly at (312) 283-0794 to connect with an experienced local agent.

The post Will Home Prices Drop in Chicago? The Latest Forecasts from Fannie Mae appeared first on KM Realty Group LLC.

If you are worried about a housing crash, recent national data tells a much calmer story than social media headlines suggest.

A survey from Talker Research asked Americans to pick one word describing this year so far. The top response was stressful. With inflation and economic shifts in the news, caution is natural.

However, the real estate market is quietly settling into predictable patterns across home prices, inventory levels, and financing costs. Here is what the numbers actually show.

Are We Heading Toward a Housing Crash?

Current economic indicators do not point to a housing crash.

Data from the National Association of Realtors and Freddie Mac shows home prices leveling into modest appreciation, inventory stabilizing near balanced levels, and mortgage rates maintaining a defined range rather than spiking.

Home Prices Have Leveled Out

After several years of intense price acceleration, data from the National Association of Realtors (NAR) confirms prices have returned to steady, sustainable growth.

Real estate values do not climb at identical speeds everywhere. Some markets experience slower appreciation while others see modest adjustments.

Nationally, property values reflect modest long-term growth rather than sudden drops. Institutional economists expect this stability to continue, giving buyers and sellers a predictable foundation to make decisions.

The Supply of Homes for Sale Has Steadied

Housing inventory has evolved significantly over the last few years. Active listings dropped dramatically before gradually rebounding as more owners listed their homes.

According to research from Realtor.com, overall supply has leveled out near previous-year benchmarks.

For buyers, steady supply means more breathing room to evaluate homes without frantic bidding wars. For sellers, it clarifies local competition so you can price strategically.

Understanding active housing inventory trends helps separate temporary seasonal shifts from actual market turns.

Mortgage Rates Have Found a Defined Range

Financing costs experienced sharp adjustments following historic pandemic lows. However, rates have spent recent quarters fluctuating within a consistent band.

Weekly market data from Freddie Mac confirms rates have largely stayed within the 6% to 7% range.

While everyone prefers lower borrowing costs, predictability provides immense value. Buyers can calculate dependable monthly budgets, and sellers know their prospective buyers can secure financing.

For deeper insight into lending movements, review our guide on why mortgage rates are expected to ease over time.

Why Today Differs Entirely from the 2008 Crash

Sensational headlines frequently draw comparisons to the mid-2000s, but today’s underlying fundamentals are fundamentally different:

• Unprecedented Equity: Homeowners today possess substantial home equity, preventing the wave of distressed sales seen in 2008.
• Strict Lending Standards: Modern mortgage qualification requires verified income and solid credit profiles.
• Controlled Supply: Even with recent inventory gains, markets do not face the massive overbuilding that preceded the previous collapse.

To see how economists analyze these structural differences, read our breakdown of why this market is not like 2008.

National Data vs. Local Reality

National statistics provide broad economic context, but all real estate decisions remain local.

For example, economic factors in the 2026 Chicago housing market forecast—such as localized neighborhood demand, school districts, and Cook County property taxes—create distinct conditions you will not see in national averages.

If you own property, discovering what your home is worth today provides much clearer guidance than country-wide headlines.

If you plan to buy, browsing verified local homes for sale shows your actual options on the ground.

Key Takeaways for Buyers and Sellers

• Home price growth has moderated into stable, historical patterns rather than sharp declines.
• Inventory has leveled out, creating a more balanced transaction environment.
• Mortgage rates have found a predictable operating range.
• Strict underwriting and accumulated homeowner equity safeguard against systemic foreclosures.

Plan Your Next Step in the Chicago Market

A healthy real estate market does not require record-breaking price spikes. Predictability creates the best conditions to purchase or sell without second-guessing.

Whether you are planning a purchase, preparing to list, or simply evaluating your equity across Greater Chicago, our team provides clear guidance backed by verified numbers.

Ready to discuss your real estate goals? Reach out to our local advisory team today or call our Chicago brokerage office directly at (312) 283-0794 to get started.

The post Worried About a Housing Crash? The Numbers Tell a Calmer Story appeared first on KM Realty Group LLC.

But if you do decide to go for it, whether you’re buying or selling, here’s something reassuring to hold onto. Not only does your move change your own life, but it also gives your whole community a boost.

Real estate is a huge part of the economy. In 2025, it added up to about $5.6 trillion, according to the National Association of Realtors (NAR). A good share of that comes from everyday people buying and selling homes, just like you.

Your Move Puts Real Money Into the Local Economy

Every sale sends money flowing through your area. NAR data shows that buying an existing home (one that’s already been lived in) adds about $64,000 to the local economy. Buy a newly built home, and that number climbs to more than $134,000 (see graph below):

In communities like Chicago and throughout Chicagoland, every home sale supports a network of experienced real estate professionals, including real estate agents, lenders, inspectors, title companies, contractors, movers, landscapers, and small businesses.

Over half of that comes from the work of building the home itself. The rest flows to real estate services, like agent and lender fees, plus what you spend settling in afterward, on things like furniture and remodeling.

And the money doesn’t stop there. As local businesses earn it, they spend it again in your area, so a single sale ripples further than the sale price alone.

One Sale Keeps a Lot of People Working

Behind every sale is a whole network of people doing their jobs. Contractors, lenders, inspectors, movers, and more. When you buy or sell, you help keep them busy. Lawrence Yun, Chief Economist at NAR, puts it this way:

“Increased home sales mean more economic activity — lawn care, furniture purchases, moving services, mortgage originations and other related business activities all get a boost.”

So, your move supports your neighbors’ livelihoods, too. The deal that gets you into your next home also helps a local crew make payroll. In a year when every paycheck counts, that’s no small thing.

Your Local Impact May Be Even Bigger

What your move financially adds to your community depends a lot on where you live. To help you see how it can vary, here’s a look at the impact of a typical newly built home sale by state.

The national average for a newly built home is about $134,000, but some states see far more (see map below):

In California, a single sale adds more than $300,000 to the local economy. In Hawaii, it’s over $350,000. Even in the most affordable states, the number lands in the tens of thousands.

Want to know how buying or selling a home could impact your local community? An experienced local real estate professional can help you understand what those numbers look like where you live.

What This Means for Buyers and Sellers

Whether you’re buying your first home, selling your current property, or simply exploring your options, understanding your local market is key. An experienced Chicago real estate professional can help you navigate current market conditions, answer your questions, and create a strategy that fits your goals.

If you’re planning a move in Chicago or the surrounding suburbs, we’re here to help every step of the way.

Key Takeaways

• Buying or selling a home supports your local economy.
• Every home sale helps create jobs for dozens of local professionals.
• Real estate contributes trillions of dollars to the U.S. economy each year.
• The economic impact of a home sale varies by location but benefits communities nationwide.
• Working with a local real estate expert helps you make informed decisions.

The post How Buying or Selling a Home Supports Your Local Community appeared first on KM Realty Group LLC.

The biggest reason behind these differences isn’t mortgage rates alone. It’s housing inventory. Understanding how inventory affects home prices can help buyers and sellers make more informed real estate decisions in today’s market.

Whether you’re buying or selling a home, understanding how inventory affects home prices can help you make better real estate decisions. If you’re planning a move in Chicago or another housing market, knowing what’s happening locally matters even more.

Why Housing Inventory Has the Biggest Impact on Home Prices

Here’s the simple version:

1. When there are more homes for sale, buyers have options.
2. More options means less competition.
3. Less competition means sellers can’t push prices as high.

On the flip side, when inventory is tight, buyers are competing over a small pool of homes, and that pushes prices up.

That dynamic is playing out right now in a really visible way across the country.

Markets where inventory has climbed back to, or above, normal pre-pandemic levels are seeing prices flatten or fall slightly. Markets where inventory is still well below those 2019 benchmarks are still seeing prices rise.

As Lance Lambert, CEO of ResiClub, puts it:

“Home prices are still climbing a little year-over-year in many regions where active inventory remains well below pre-pandemic 2019 levels, such as pockets of the Northeast and Midwest.

In contrast, some pockets in states like Texas, Florida, and Colorado — where active inventory exceeds pre-pandemic 2019 levels by a solid clip — are seeing modest home price pullbacks or flat pricing.”

How Inventory Levels Affect Home Prices Across the Country

Take a look at where inventory stands today compared to 2019.

In most places (“the states in gray below”), inventory still falls short of where we were back then. And that’s exactly why prices are climbing, albeit moderately, in the vast majority of states.

But you’re probably more interested in where prices are falling a bit, since that’s what is making headlines. So, let’s prove out how much inventory affects prices in those spots.

According to Realtor.com, 15 states and Washington, D.C. are now back above pre-pandemic inventory levels, and some by a wide margin (see the orange in the map below):

Now, let’s look at the latest Federal Housing Finance Agency (FHFA) data to see what’s happened to home prices in those same states over the past year (again, you’ll want to focus on the orange in the next map).

See how those line up pretty closely with the areas seeing more homes for sale today?

The overlap isn’t a coincidence. It’s cause and effect.

Chicago generally follows the same pattern. While some neighborhoods continue to have limited housing inventory and stronger price growth, others are seeing more listings and a more balanced market. That’s why understanding your local market is just as important as following national housing trends.

The national average of 1.7% price growth is accurate, but it’s an average of two very different stories happening at the same time – the few areas experiencing mild declines and the overwhelming majority that are still seeing prices rise.

What This Means for Buyers and Sellers

For Buyers

If you’re a buyer, the market you’re shopping in matters a lot right now. In places like Texas, Colorado, or Florida, you may have real negotiating power – more choices, less competition, and sellers who are more motivated to make a deal.

In tighter markets like much of the Northeast, you’re still likely facing a lot of competition.

For Sellers

If you’re a seller, pricing strategy is everything. In markets where inventory has risen, overpricing is one of the fastest ways to linger on the market and eventually sell for less than you would have with the right price from day one.

In markets where inventory is still low, you’re in a strong spot, but getting your price right still matters if you want to attract serious buyers quickly.

Either way, that’s where a local real estate agent earns their keep.

What This Means for Your Local Housing Market

National housing trends provide valuable insights, but every local market is different. Home prices can vary significantly from one city or neighborhood to another based on inventory, buyer demand, and local market conditions.

Whether you’re buying your first house, preparing to sell, or simply wondering what today’s home prices mean for your neighborhood, working with a knowledgeable local real estate professional can help you make confident decisions.

While national housing trends provide helpful insights, your local market matters most. Whether you’re buying or selling in Chicago or another community, understanding local conditions can help you make more confident real estate decisions.

Key Takeaways

• Housing inventory is one of the biggest factors affecting home prices today.
• Markets with more homes for sale often experience slower price growth.
• Areas with limited inventory continue seeing stronger home price appreciation.
• National housing trends don’t always reflect local market conditions.
• Working with a local real estate professional helps buyers and sellers make informed decisions.

The post The 1 Factor That Explains Everything Happening with Home Prices Right Now appeared first on KM Realty Group LLC.

The good news is that an unsold home doesn’t mean your property can’t sell. In many cases, homes stay on the market because of factors like pricing, marketing, presentation, or changing buyer expectations—not because there’s no demand.

If your house didn’t sell, now is the time to step back, identify what held it back, and create a better strategy. Understanding why your listing didn’t attract the right buyers can help you relist with confidence, reach more qualified buyers, and improve your chances of a successful sale.

When your house doesn’t sell, it’s not just disappointing. It messes with your timing. Your plans. Your confidence. You start second-guessing everything, including the decision to move in the first place. And that raises 2 big questions:

Do you try again?

Is that even worth it?

Here’s the secret to getting a better outcome the second time around.

A Fresh Approach Can Make the Difference

Most sellers who re-list and ultimately sell don’t wait for market to magically change. They change their approach. And there’s data to back that up.

Research from REDX shows homeowners who put their house back on the market with a different agent are more likely to sell than homeowners who re-used the same agent. Not to mention, they see their homes sell faster (see graph below):

That’s the power of a fresh set of eyes. Because in a moment like this, the worst thing you can do is rerun the same set of plays and expect a different outcome. A different agent can bring a new perspective on where things went off track – and a lot of the time, one of these things happened.

1. The Asking Price Didn’t Match Buyer Reality

There’s a saying that’s especially important in today’s market, and it’s: “if your price isn’t compelling, it’s not selling.” Maybe that’s what happened with your house.

With mortgage rates where they are and inflation driving up the cost of everyday purchases, buyers have less room to stretch. If they feel like your house is priced even a little high, it’s going to get skipped over. And if no one looks at it, it’s not going to sell.

The Fix: Price to draw buyers in, not push them away. Have an agent pull fresh data from recent sales so your asking price matches what buyers are actually paying right now.

2. The First Impression Didn’t Win the Click

Most buyers decide whether they want to tour a home in seconds. If the photos look dark, or dated, they scroll right past. And while you may think: “If they just saw it in person, they’d get it,” you may not get that chance.

And honestly, even in person, small things can quietly kill momentum – worn down paint, outdated fixtures, clutter, or a yard that feels high-maintenance. Individually, they’re small. Stacked together, they create doubt.

The Fix: Walk the house like you’re a buyer, not the owner. Start with what’s easy and obvious – paint, lighting, curb appeal, decluttering. Then update the photos so they match the best version of your house.

3. The Marketing Was Too “Set It and Forget It”

Today, the number of homes for sale has grown in many areas. Buyers have more options, which means your house needs a plan to stand out. A generic description and a basic upload to the MLS can blend in fast.

The Fix: Find an agent who can build stronger exposure through digital marketing and social platforms, plus content that makes buyers stop – strong photos, a smart description, a video walk-through, and a plan for open houses and follow-up.

4. There Was No Clear Plan for Feedback

Sometimes the house gets showings, but no offers. If that was your experience, it actually tells you something important. Buyers liked it enough online to come see it. So, something else was holding them back.

Those buyers were sending a message. It just wasn’t translated into action.

The Fix: Make sure your agent has a clear plan for seeking out and acting on feedback quickly. That dialogue often points to the one change that would get a house sold.

5. The Deal Couldn’t Get Over the Finish Line

Even when a house is priced well and marketed right, deals fall apart when there’s no plan for the human side of the transaction.

Buyers today are more likely to ask for repairs, credits, or help with closing costs than a few years ago. In this type of market, being unwilling to negotiate can cost you more than a reasonable concession ever would.

The Fix: Decide ahead of time what matters most to you and where you can be flexible. Keep the dialogue open and lean on your agent for advice.

Why Your House Didn’t Sell Doesn’t Have to Be the End

If your house didn’t sell the first time, don’t assume the opportunity is gone. Many homes sell successfully after a fresh strategy, better pricing, stronger marketing, and guidance from an experienced real estate professional.

Before relisting, take time to understand what held your home back and what changes can improve your results. Small adjustments can often make a significant difference in today’s market.

If you’re ready to relist your home or want an honest assessment of why it didn’t sell, connect with the experienced real estate professionals at KM Realty Group LLC. We’ll review your previous listing, identify opportunities to improve your strategy, and help you attract qualified buyers with a plan built for today’s market.

Key Takeaways:

1. A home that doesn’t sell can often be successfully relisted with the right strategy.
2. Accurate pricing is one of the biggest factors in attracting buyers.
3. Professional marketing and quality photos help generate more interest.
4. Buyer feedback can reveal changes that improve your chances of selling.
5. An experienced real estate agent can help you avoid repeating the same mistakes.

The post House Didn’t Sell? 5 Reasons It Didn’t Sell and What to Do Next appeared first on KM Realty Group LLC.

Fortunately, the latest housing data tells a much different story. Most sellers aren’t pulling their listings because the market is crashing. Instead, many are adjusting to changing market conditions, higher inventory levels, and longer selling times.

Understanding why sellers are stepping back can help you make more informed real estate decisions, whether you’re buying or selling.

Why More Sellers Are Taking Homes Off the Market

According to the latest data from Redfin, 5.5% of all listings were taken off the market in May. And it’s true that’s almost the highest it’s been since back in March 2020 (see graph below):

At first glance, that statistic may sound alarming. But the full story provides much more context. Much of the fear comes from how this story gets told.

“A near record number of sellers are pulling their listings” makes a great clickbait headline – and that sort of thing spreads fast, especially online. But sellers pull a house off the market for plenty of reasons that have nothing to do with a crash.

Many homeowners are adjusting their selling strategy as the market changes, not because they’re expecting prices to collapse. Understanding why home prices vary can help put today’s headlines into better perspective.

Redfin points to four main forces driving this trend:

• Homes are taking longer to sell. When the pace slows down, some sellers get frustrated and decide to hold off.
• The number of homes for sale is rising faster than demand. That means buyers have more options. And sellers who don’t price or prep right may not get many eyes on their house.
• Some sellers still have pandemic-era price expectations. A price that would’ve worked a few years ago may not match what today’s buyers are willing to pay.
• Economic uncertainty is making both buyers and sellers cautious. Buyers pause. Sellers second-guess. And that has an impact on overall sales volume and pace.

Notice what’s missing from that list? There isn’t a single mention of an impending market crash or price collapse.

Those factors point to a market that’s adjusting—not one that’s failing.

Instead, today’s market reflects changing buyer demand, growing inventory, and sellers adjusting their expectations—not a housing market crash.

Why This Doesn’t Mean the Housing Market Is Crashing

Want more peace of mind that this isn’t a crash? This next stat delivers. Yes, more sellers are taking their homes off the market. But Redfin also shows something you’re not going to see in social posts…

The number of re-listings is growing too.

While more sellers are pulling their listings, more are also deciding to give selling a second shot too. This is pretty much the highest re-listings have been since the pandemic hit.

While 5.5% got pulled in May, 2.3% were also put back on the market (see graph below):

That’s a signal sellers aren’t giving up or running away in large numbers.

Some are simply stepping away briefly before deciding to try again. That tells you this often isn’t a permanent decision. In many cases, it’s a pause – and the seller comes back with a different approach.

A lot of the time that change in the overall strategy is all that’s needed to finally get a house sold.

And just in case you need more proof this isn’t a reason to worry, check this out. Buyer activity may be starting to pick back up – and that could bring more sellers back in or, at least, prevent some sellers from pulling back.

The National Association of Realtors (NAR) reports existing home sales increased 3.2% in May. That’s the biggest increase since December. As the Wall Street Journal puts it:

“Home sales in May posted the biggest rise this year, a sign that the housing market’s crucial spring selling season may be showing signs of life after a sluggish start.”

That doesn’t sound like a market in trouble.

What This Means for Home Sellers and Buyers

Housing markets naturally change over time, and today’s market is becoming more balanced rather than heading toward a crash. More sellers are adjusting their pricing, timing, or selling strategy as inventory grows and buyers gain more choices.

If you’re thinking about buying or selling, understanding what’s happening in your local market is more important than following national headlines.

Whether you’re planning a move in Chicago or another community, a knowledgeable local real estate professional can help you make confident decisions based on current market conditions.

Key Takeaways

• More sellers are temporarily taking their homes off the market, but it doesn’t signal a housing market crash.
• Longer selling times, rising inventory, and pricing expectations are driving this trend.
• Many homeowners later relist their properties with a different selling strategy.
• Existing home sales are beginning to improve, showing buyers are still active.
• Understanding your local housing market can help you make more confident buying or selling decisions.

The post More Sellers Are Taking Their Homes off the Market. Here’s What You Need To Know. appeared first on KM Realty Group LLC.

While it’s going to vary by area, more metros are slowly shifting to favor buyers, and the market is starting to look a lot more like a two-way street again.

And that balance is something we haven’t had in a while.

For buyers, that can mean more choices and more negotiating power. For sellers, it means pricing, presentation, and strategy matter more than they did just a few years ago.

Whether you’re buying or selling, here’s what you need to know about what’s changing and what it means for your move.

The Most Buyer-Friendly Market in Years

The national data tells an interesting story right now. According to Realtor.com:

“The national housing market is balanced but gradually loosening as the cycle moves in a more buyer-friendly direction . . .”

That’s because, over the past few years, more and more metros have been flipping back to more buyer-friendly terms as inventory’s grown. And when you zoom in on the latest Realtor.com data for the top 50 metro markets over time, the trend becomes really clear (see graph below).

Back in 2021, almost all major metros were seller’s markets. By the end of 2025, only 1 in 3 still favored sellers. That’s an obvious shift.

And that changes how the market is going to feel for everyone. Sellers shouldn’t still expect 2021 conditions, but neither should buyers. At least, not generally speaking.

It’s Not the Same Story Everywhere

That said, who has the power ultimately depends on where you live. While more metros are leaning buyer-friendly lately, there are still plenty of strong seller’s markets right now, too.

It really comes down to how much housing supply and demand there is in your area. And that varies enormously by region.

Sun Belt cities like Austin, Tampa, and San Antonio saw major building booms in recent years, giving buyers more options and more negotiating room. Meanwhile, cities in the Northeast and Midwest – think Rochester, Hartford, and Buffalo – didn’t see that same wave, so inventory stayed tight and competition stayed fierce. As Jeff Ostrowski, Housing Analyst at Bankrate, explains:

“The formerly hot Sun Belt markets have cooled, while the Northeast and Midwest have stayed hot. The big driver here is construction activity. The softest markets now [have] experienced big booms that spurred new building, and that has led to a large supply of new and existing homes on the market in those places.”

Practical Advice for Your Move

To find out who has the power in your local market, talk to an agent. Because knowing what’s happening locally is going to be the key to setting the right strategy for your move.

If the market is working in your favor, great. Lean in and use it to your benefit. But if it’s not, all hope isn’t lost. Your agent can help you figure out how to approach any market.

Here’s some practical advice if there’s a mismatch between your goal and local market conditions.

If you’re buying in a seller’s market:

• Get pre-approved before you start shopping. It shows sellers you’re serious.
• Be ready to act fast when the right home hits the market.
• Consider offering a quick closing date or flexible terms.
• Work closely with your agent to craft a competitive offer.

If you’re selling in a buyer’s market:

• Price it right from day one. Overpricing will cost you time and money.
• Focus on curb appeal and staging to stand out in areas with more inventory.
• Be open to offering incentives, like covering closing costs or a home warranty.
• Expect buyers to negotiate and be ready to be flexible.

Know Your Local Market First

The housing market is becoming more balanced, but that doesn’t mean every buyer or seller has the same opportunities. Local inventory levels, buyer demand, and pricing trends still play a major role in who has the advantage.

That’s why understanding your local market is more important than following national headlines. The right strategy can help buyers negotiate with confidence and help sellers attract serious offers, regardless of market conditions.

If you’re planning a move, knowing whether your area favors buyers or sellers can help you make smarter decisions and avoid costly mistakes.

The post Is It Still a Seller’s Market? Here’s What the Data Says appeared first on KM Realty Group LLC.

• Some believe a crash is coming and they’ll get a better deal if they hold off.
• Others worry they’ll buy now and watch their home’s value fall later.

And nobody wants to overpay or buy right before values drop. But here’s the question worth asking:

What if the crash you’re waiting for isn’t actually coming?

Because that’s what the latest data suggests.

Experts Are Not Calling for a Crash

If you’ve spent any time online lately, you’ve seen posts claiming home prices are about to come crashing down. And it’s true that some markets are seeing small price declines right now.

But that’s not the same thing as a nationwide crash.

While some places are going through a price adjustment, Realtor.com data shows home prices are still rising in 71% of housing markets across the country.

The trouble is, since negative news sells, you’re seeing more coverage about how a handful of markets are seeing declines, than how the majority are still seeing prices rise. And that’s unfortunate.

It’s exactly why a lot of buyers end up with the impression that prices are falling everywhere when they’re not. So how do you really know where prices are really headed from here?

That’s where the Home Price Expectations Survey (HPES) from Fannie Mae comes in.

Home Prices Will Rise for the Next 5 Years

Every quarter, more than 100 economists, housing experts, and market analysts are asked where they think home prices are headed based on the latest data available.

And despite all the uncertainty in today’s market, there’s one thing they largely agreed on:

They don’t think a crash is coming.

In fact, the average of all of their forecasts calls for home prices to rise every year for at least the next 5 years (see graph below):

The point is that the overwhelming expectation isn’t for prices to fall. It’s for prices to rise at a more normal pace. And just in case you’re looking at the forecasts and saying: “of course they’d say that” – know that this survey doesn’t just include optimists. It includes pessimists too.

Even the Pessimists Aren’t Predicting a Crash

Researchers broke the panel into groups based on how bullish or bearish they were about housing. The result? Even the most pessimistic group still expects home prices to climb over the next five years.

Optimists think we’ll see prices go up roughly 4% a year. Pessimists say it’ll be closer to 1%. The reality may be somewhere in the middle.

Think about that for a second. The debate among experts isn’t whether prices will crash. It’s how much they’ll rise.

That’s a very different conversation than the one happening across social media.

This Means Waiting Could Actually Cost You

So, if you’re putting off your move until prices come down, you may be disappointed. According to the experts, a widespread crash isn’t in the cards.

In fact, based on the HPES forecast, a buyer who purchased a $400,000 home this January would gain nearly $40,000 in equity over the next five years from appreciation alone, even in this more moderate market (see below):

Of course, this all depends on local market conditions. This forecast is a national average. But broadly speaking, if the experts are right, the bigger risk isn’t that prices will crash. It may be waiting for a crash that never comes.

Because depending on your market, if you wait, you could be missing out on $40k in equity or paying 40k more in 5 years for the same house.

Learn how long-term appreciation impacts homeowners in our guide to the 5 Rule for Home Prices.

What Waiting Could Mean for Your Homebuying Plans

A lot of buyers are delaying their move because they believe home prices will come down. But according to leading housing experts, that’s not the most likely outcome.

While price growth is expected to be more moderate than it was in recent years, most forecasts still call for home values to rise over time.

Waiting may feel like the safer choice. But if prices continue to appreciate, delaying your purchase could mean paying more for the same home later and missing out on years of potential equity growth.

If you’re trying to decide whether buying now or waiting makes more sense, understanding your local market can help you make a confident decision based on facts instead of headlines.

You can also browse current home listings to see what’s available in today’s market.

The post Think Home Prices Will Crash? Here’s What the Experts Actually Expect. appeared first on KM Realty Group LLC.

No repairs.

No concessions.

No negotiation.

If buyers wanted the house, they pretty much had to take it on the seller’s terms. But now that inventory’s grown, negotiations are becoming a normal part of the process again.

That’s why one of the most important things sellers need to understand right now is this:

The goal isn’t to “win” every negotiation.

Sometimes, it’s worth meeting buyers where they are to get a deal done, fast. One example? Helping with a buyer’s closing costs.

Let’s break that down, so you know what to expect if it comes up in your sale.

What Are Buyer Closing Costs?

Closing costs are the extra expenses buyers pay on top of their down payment when they purchase a home. Freddie Mac gives some examples:

• Loan origination fees
• Appraisal and inspection costs
• Title and attorney fees
• Survey fees and more

Typically, buyer closing costs range from about 2% to 5% of the home’s purchase price. So, on the typical $400,000 home, that could mean anywhere from $8,000 to $20,000 out of pocket.

And in today’s affordability-challenged market, that upfront cash can be a major hurdle for some buyers – even if they can comfortably afford the monthly mortgage payment itself.

That’s why more people are asking sellers for help.

And More Sellers Are Saying “Yes”

According to the latest data from Zillow, 67% of sellers reported paying some or all of the buyer’s closing costs in 2025 (see chart below):

Now, that doesn’t mean every seller is doing it. And it definitely doesn’t mean every seller should. But it does show how common concessions have become as the market has shifted. And that’s important for you to know.

When Paying Closing Costs May Make Sense

This is where many sellers get stuck. They hear “help with closing costs” and immediately think: “Why should I pay for their expenses?”

But that’s not always the right way to look at it. You’ve got to consider who has the leverage in today’s market.

Redfin data shows there are more sellers than buyers active today. And that shifts the market dynamics (see graph below):

That doesn’t mean every market favors buyers. Far from it. In some areas, homes are still selling quickly and sellers have plenty of leverage. But in others, buyers have more room to negotiate than they’ve had in years.

That’s why local market conditions matter so much when you make your decision.

For example, helping with closing costs may be worth considering if:

• There are a lot of homes for sale in your area
• Your house has been sitting on the market longer than expected
• You’ve had showings, but no offers
• You’re motivated to move quickly
• Or you’re trying to keep a deal together during negotiations

After all, if it’s the thing that helps bring a serious buyer across the finish line, it could be well worth it.

Other Concessions You Could Offer Instead

Just remember, being flexible doesn’t mean saying “yes” to every request.  It means understanding which compromises actually help you accomplish your goals. Because there are always alternatives.

Redfin suggests considering other concessions if you’re not interested in helping with closing costs, like:

• A home warranty
• Repair credits
• Flexible closing dates, or
• Leave behind appliances or furniture

The right answer depends on what buyers in your market are asking for and what matters most to you. That’s exactly why working with an experienced local agent is so important.

What Smart Sellers Should Consider Before Negotiating

The most successful sellers today aren’t necessarily the ones who refuse every request—they’re the ones who understand which concessions help them reach their goals faster.

Whether it’s helping with closing costs, offering repair credits, or negotiating other terms, the key is knowing what makes sense based on current market conditions and your priorities.

If you’re thinking about selling and want to understand which concessions buyers are requesting in today’s market — and which ones are worth considering — having a local strategy can make all the difference.

The post Should You Pay for Your Buyer’s Closing Costs? What Sellers Need To Know. appeared first on KM Realty Group LLC.