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For Sellers

Why 50% of Homes Are Selling for Under Asking and How To Avoid It

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If your selling strategy still assumes you’ll get multiple offers over asking, it’s officially time for a reset. That frenzied seller’s market is behind us. And here are the numbers to prove it. 

From Frenzy to “Normal”

Right now, about 50% of homes on the market are selling for less than their asking price, according to the latest data from Cotality.

But that isn’t necessarily bad news, even if it feels like it. Here’s why. The wild run-up over the last few years was never going to be sustainable. The housing market needed a reset, and data shows that’s exactly what’s happening right now.

The graph below uses data from Zillow to show how this trend has shifted over time. Here’s what it tells us:

  • 2018–2019: 50–55% of homes sold under asking. That was the norm.
  • 2021–2022: Only 25% sold under asking, thanks to record-low rates and intense buyer demand.
  • 2025: 50% of homes are selling below asking. That’s much closer to what’s typical in the housing market.

Why This Matters If You’re Selling Your House

In this return to normal, your pricing strategy is more important than ever.

A few years ago, you could overprice your house and still get swarmed with offers. But now, buyers have more options, tighter budgets, and less urgency.

Today, your asking price can be make or break for your sale, especially right out of the gate. Your first two weeks on the market are the most important window because that’s when the most serious buyers are paying attention to your listing. Miss your price during that crucial period, and your sale will grind to a halt. Buyers will look right past it. And once your listing sits long enough to go stale, it’ll be hard to sell for your asking price.

The Ideal Formula

Basically, sellers who cling to outdated expectations end up dealing with price cuts, lower offers, and a longer time just sitting on the market. But homeowners who understand what’s happening are still winning, even today.

Because that stat about 50% of homes selling for under asking also means the other half are selling at or above – as long as they’re priced right from the start.

So, how do you set yourself up for success? Do these 3 things:

  1. Prep your house. Tackle essential repairs and touch-ups before you list. If your house looks great, you’ll have a better chance to sell at (or over) your asking price.
  2. Price strategically from day one. Don’t rely on what nearby homes are listed for. Lean on your agent for what they’ve actually sold for. And price your house based on that.
  3. Stay flexible. Be ready to negotiate. And know that it doesn’t always have to be on price. It may be on repairs, closing costs, or some other detail. But know this: today’s serious buyers expect some give-and-take.

If you want your house to be one that sells for at (or even more than) your asking price, it’s time to plan for the market you’re in today – not the one we saw a few years ago. And that’s exactly why you need a stand-out local agent.

Bottom Line

You don’t want to fall behind in this market.

So, talk to an agent about what buyers in your area are paying right now. With their expertise and a strategy that gets your house noticed in those crucial first two weeks, anything is possible.

Want to know what your house would sell for?

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Downsize

Downsizing Without Debt: How More Homeowners Are Buying Their Next House in Cash

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If you’ve been thinking about downsizing to lower your expenses, be closer to family, or just make life easier, here’s a trend worth paying attention to:

More homeowners are buying their next house outright, without taking on a new mortgage. And, if you’ve owned your home for a while, you may be able to do the same. No mortgage. No monthly housing payments.

A Record Share of Homeowners Are Mortgage-Free

According to analysis from ResiClub of Census data, more than 40% of U.S. owner-occupied homes are mortgage-free an all-time high for this data series. That means 4 in 10 homeowners own their homes free and clear (see graph below):

a graph of a number of blue barsOne big reason for this trend? Demographics. As Baby Boomers age and stay in their homes longer, many have had the time to fully pay off their mortgages. You might be in that group too and not even realize just how much buying power you now have. It’s time to change that.

How Downsizers Are Turning Equity into Buying Power

As a homeowner, your equity is your biggest advantage in today’s market. If you’re mortgage-free (or close to it), it could give you the power to buy your next home in cash. That means you’d still have no mortgage payment in retirement, plus:

  • Less financial stress as you age
  • More cash flow, if you purchase a less expensive home
  • And it would likely be a faster, simpler transaction

Here’s how it works. You’d sell your current house and use the proceeds to buy your next house in cash. And while that may sound like something you thought would never be possible for you, it’s more realistic than you may think.

In the latest survey from John Burns Research and Consulting (JBREC) and Keeping Current Matters (KCM), agents reported the share of purchases with all-cash buyers is climbing nationally. And those agents are seeing increases in almost every region of the country (see graph below):

a graph of salesFor Baby Boomers especially, buying in cash gives you more control over your next chapter. You could buy a smaller, less expensive home and have lower costs, less upkeep, and more flexibility to enjoy what matters most. All while staying debt and stress free.

Because downsizing isn’t about downgrading your home. It’s about upgrading your quality of life. And that’s something worth exploring.

Bottom Line

You’ve worked hard for your house. Now it might be time for it to work hard for you.

Talk to your agent about what your house is worth, and what it could unlock for you today. What would your ideal home look like if you were to downsize right now?

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For Buyers

Why Buyers and Sellers Face Very Different Conditions Today

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There’s a new divide in housing right now. In some states, buyers are gaining ground. In others, sellers still have the upper hand. It all depends on where you live. Curious what’s happening in your state?

These 3 maps show how the split is playing out across the country. In each one:

  • Darker Shades of Blue = Buyer friendly
  • Lighter Shades of Blue = Seller strong

Inventory Sets the Stage

While the number of homes for sale has improved pretty much across the board, how much growth we’ve seen can look dramatically different based on where you live. And that impacts who has the leverage today.

This map uses data from Realtor.com to break it down:

  • The darker shades of blue show where inventory has risen more than in other areas of the country. Buyers here have more to choose from and should have an easier time finding a home and leveraging their negotiating power.
  • The lighter shades of blue are where inventory is still low. Sellers are more likely to sell quickly and make fewer concessions.

Prices Follow Inventory

The second map tracks how home prices are shifting by state. Just like above, you can see the divide taking shape. Many of the same areas are darker blue. That’s because there’s such a close tie between inventory and prices. When inventory rises, prices moderate.

  • The darker shades of blue are where prices are actually coming down slightly or flattening. Because, with more homes for sale, sellers may have to cut their price or throw in concessions to get a deal done. And that benefits budget-conscious buyers.
  • The lighter shades of blue show areas where prices are still climbing because inventory is low. Sellers may still see buyers competing for homes, and that pushes prices higher.

Time on Market Tells the Same Story

Finally, here’s how quickly homes are selling state by state. See the colors? For the most part, they follow the same general pattern with a lot of the darker blues being in the lower half of the country. And here’s why.

Generally speaking, as inventory grows, homes don’t sell as quickly. That’s why some of the same areas that have more inventory, see homes take more time to sell. 

  • The darker blues show where homes are staying on the market longer. That gives buyers more time and options, and signals sellers may need to adjust their expectations.
  • The lighter blues are where homes are still moving quickly. Sellers there may feel more confident, and buyers may need to act fast.

a map of the united statesThis explains why some sellers in these darker blue states are feeling frustrated when their listings linger, while others in tighter markets (like the lighter blue states) are still seeing their homes sell quickly.

Why an Agent’s Local Expertise Is the Key To Unlocking Today’s Market

Basically, the housing market is experiencing a divide. And conditions are going to vary a lot based on where you live, where you’re moving, and if you’re buying or selling. While the state-level information helps, what really matters is what’s happening in your town and your neighborhood. And only a local agent truly has the information you need.

Bottom Line

Want to know what conditions look like in your neighborhood?

If you want to understand which side of the market you’re on, connect with a local agent. They’ll walk you through the numbers and what they mean for your next move.

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Equity

Do You Know How Much Your House Is Really Worth?

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Want to know something important you probably don’t have a professional check for you nearly as often as you should? Spoiler alert: it’s the value of your home.

Because here’s the reality. Your house is likely the biggest financial asset you have. And if you’ve lived in it for a few years or more, chances are it’s been quietly building wealth for you in the background – even if you haven’t been keeping tabs on it.

You might be surprised by just how much it’s grown, even as the market has shifted over the past few months.

What Is Home Equity?

That hidden wealth in your home is called equity. It’s the difference between what your house is worth today and what you still owe on your mortgage. Your equity grows over time as home values rise and as you make your monthly payments. Here’s an example to help you really understand how the math works.

Let’s say your house is now worth $500,000, and you have $200,000 left to pay off on your loan. That means you have $300,000 in equity. And that’s right in line with what the typical homeowner has right now.

According to Cotality, the average homeowner with a mortgage has about $302,000 in equity.

Why You Probably Have More Than You Think

Here are the two main reasons homeowners like you have near record amounts of equity right now:

1. Significant Home Price Growth. According to the Federal Housing Finance Agency (FHFA), home prices have jumped by nearly 54% nationwide over the last five years (see map below):

a map of the united statesThis means your house is likely worth much more now than when you first bought it, thanks to how much prices have climbed over time. And if you’re worried because you’ve heard prices are flattening or even coming down in some markets, just know if you’ve been in your house for a few years (or more) you very likely have enough equity to sell and still come out ahead.

2. People Are Living in Their Homes Longer. Data from the National Association of Realtors (NAR), shows the average homeowner stays in their home for about 10 years now (see graph below):

a graph of numbers and a number of yearsThat’s longer than it used to be. And over that decade? You’ve built equity just by making your mortgage payments and riding the wave of rising home values. Because the financial side of homeownership is about playing the long game, not worrying about little ups and downs in the market here and there. And over time, that means you’re winning.

So, if you’re one of those people who’s been in their home for a bit, here’s how much the behind-the-scenes price growth has helped you out. According to NAR:

“Over the past decade, the typical homeowner has accumulated $201,600 in wealth solely from price appreciation.”

What Could You Actually Do with That Equity?

Your equity isn’t just a number. It’s a tool you can use to unlock your next big move. Depending on your goals, you could:

  • Use it to help buy your next home. Your equity could help you cover the down payment on your next home. In some cases, it might even mean you can buy your next house in all cash.
  • Renovate your current house to better suit your life now. And, if you’re strategic about your projects, they could add even more value to your home if you do sell later on.
  • Start the business you’ve always dreamed of. Your equity could be exactly what you need for startup costs, equipment, software, or marketing. And that could help increase your earning potential, so you’re getting yet another financial boost.

Bottom Line

Chances are, your house is worth quite a bit right now. If you’re curious about the value of your home, connect with a local agent to run the numbers. That way, you’ll know what you’re working with and where you can go from here.

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Copyright © 2020-2025 Mark Sincavage. All rights reserved.  
The information contained, and the opinions expressed, in these article are not intended to be construed as investment advice. Let's Talk Real Estate, Mark Sincavage, and Keeping Current Matters, Inc. do not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. Let's Talk Real Estate, Mark Sincavage and Keeping Current Matters, Inc. will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.