Homebuyers and Sellers Enter Stalemate

While summer is usually a popular saeason for homebuyers to engage the market, that trend has shifted this year, with homes remaining on the market for 43 days, according to data from housing market platform Redfin. Last summer, homes were on the market for just 35 days, and the latest data represents the most number of days a home stays on the market since July 2015.

As buyer demand grows weaker, more sellers choose to take their homes off the market

High costs and ongoing economic challenges are the main reasons why homes are sitting on the market longer before selling, while some homes aren’t selling at all.

Active listings fell by 1.1% month-over-month in July—the largest monthly seasonally-adjusted drop in two years—and new listings fell by 0.4% month-over-month to the lowest seasonally-adjusted level since March 2024.

Additionally, pending-home sales declined by 1.1% month-over-month in July to the lowest seasonally-adjusted level since November 2023, while the seasonally adjusted annual rate (SAAR) of existing-home sales dropped to 4.15 million, which is the lowest level in nearly a year.

As sellers pull back, home prices begin to rise

With less active listings, home values may see some improvement in the near future. The median home sale price rose by 1.4% year-over-year in July to $443,867. Growth remains slow, but it is still comparatively higher than the rate of growth seen over the last couple of months. In June 2025, home prices increased by 0.9% year-over-year, and in May, they grew by 0.7% year-over-year.

The latter half of 2025 may see more home price gains, but prices fell in the beginning of the year

• Home Prices Down Slightly in April: In April home prices declined by 0.1%, marking the first month-over-month decline since 2022. 
• 80 Markets Where Home Prices Are Falling the Most: Nationwide home price declines have been moderate, but in some markets, they have fallen much more drastically.