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Sellers Are Cutting Prices To Meet Buyers Where They’re At
You’re scrolling through listings on your phone and everything looks good until you see the price (or the estimated monthly payment). Then you close the app.
Because even if you love the house, the numbers feel impossible. But here’s the thing.
Nationally, there are more homes sitting on the market than there are people out there looking. And when sellers need buyers more than buyers need sellers, that shows up in the price.
Lower asking prices. More price cuts. And homes priced for what buyers can actually afford – not what sellers hope someone might pay.
And it may be enough to make buying more doable than you’d think.
4 Out of 10 Sellers Are Cutting Their Price
One of the clearest signs sellers are adjusting? Price cuts. HousingWire Data shows more than 40% of sellers are dropping this price.
That’s just slightly behind the volume we saw last year (see graph below):
That’s more than 4 out of every 10 homes listed. Think about what that means. That’s thousands of sellers deciding they’d rather lower their asking price than keep waiting for someone willing to stretch their budget.
They know that to sell, they have to be willing to do some give and take. And when no buyers are biting, they’re pulling their biggest lever to draw buyers back in – their price. As Danielle Hale, Chief Economist at Realtor.com, explains:
“This is a market where people are adjusting and showing up rather than giving up. Sellers are meeting the market with more realistic asking prices, which is helping deals get done.”
This July Saw the Lowest Median List Price for Any July in Five Years
What about the other 6 in 10 sellers? A lot of them started with a lower asking price to begin with rather than test the higher price and get crickets from buyers.
That may be why July 2026 had the lowest median list price of any July in the past five years, according to Realtor.com (see the white line in the graph below):
Now, that doesn’t mean home values are falling or that everything’s suddenly a steal. Prices are still above where they were before the pandemic. But what it does mean is this.
Sellers no longer banking on bidding wars or expecting buyers to pay whatever they ask. Instead, many are listing at prices that better reflect today’s market from the very beginning.
And honestly, whether they’re pricing competitively from day one or adjusting after a few weeks on the market, the message for you is the same:
Sellers are more willing to meet you where you’re at.
Because in many markets throughout the country, you’re not fighting over a house anymore. Sellers are fighting over you. And that’s information you can use to get a better deal.
Yes, affordability can be a real challenge. And the monthly payment you take on definitely does matter. But if you’ve been assuming everything is out of budget, there may be more wiggle room than you think.
Bottom Line
Right now, sellers are flexible on the price in ways they weren’t before. Let’s take advantage of that flexibility.
You may be surprised by what’s available – and how willing today’s sellers are to work with buyers.
August 2026 Eastside Market Update
Four months of inventory. Let that sink in. We are teetering on the edge of a buyers’ market — territory the Eastside hasn’t seen since around 2012. This is uncharted water. But uncharted doesn’t mean dangerous. It means you need a good navigator.
Let’s start with what the data is actually telling us. The median sold price came in at $1.575M — essentially flat, both month-over-month and year-over-year. After last month’s small uptick, that’s a stabilizing signal, not a collapse. Inventory is up 40%, pendings are down 8%, so buyers are buying. The market isn’t frozen. It’s just different.
Rates are sitting at 6.69%, and I keep hearing people clutch their pearls over it. Rates aren’t going anywhere meaningful anytime soon. The latest prediction I saw had rates dropping to 6.2% eventually — and that’s simply not worth putting your life on hold for. If you’re sitting on a sub-5% rate, yes, today’s rates sting. I get it. But focus on the payment, keep the home, and you’ll be fine.
Here’s the number that tells the real story: only 27% of homes sold at or above asking price, and that is likely after a 5% price drop to cancel and relist. That means three out of four are closing below list — sometimes well below. When that’s the reality, the strategy has to shift.
For sellers: the comps conversation has changed. Closed sales tell you where the market was. Active listings tell you what buyers are choosing between today. Pending sales tell you what buyers are actually willing to buy. When I sit down to recommend a list price, I’m spending more time on actives and pendings than I am on solds. Your competition isn’t a sale from four months ago — it’s the home two streets over that just listed yesterday.
For buyers: this is genuinely one of the best environments in over a decade to be a buyer on the Eastside. More choices, motivated sellers, and real room to negotiate. That said, don’t mistake a buyers’ market for a slow market — homes that are priced right and show well are still moving. Show up ready.
Lastly, as I type this update, it appears the market might be leveling out. I think prices have settled and a little balance is coming into play, but, as always, time will tell.
Here’s Why Mortgage Rates Are What They Are Right Now
If you’re waiting for mortgage rates to fall a lot before you buy, you may be waiting a while. But before you get discouraged, there’s a number working behind the scenes that’s actually good for you right now. It’s called the spread, and once you understand it, you may see today’s rates in a whole new light.
The Pattern That’s Held for 50+ Years
For starters, mortgage rates don’t move on their own. They tend to follow the 10-year treasury yield, a number tied to how investors feel about the economy.
It’s not an exact science, since plenty of other factors can move it day to day, but broadly speaking, when the economy looks strong, that yield tends to climb over time. When the outlook gets shaky, it tends to ease. For over 50 years, the 10-year treasury yield and mortgage rates have moved almost in lockstep (see graph below):
The gap between them is called the “spread.” On average, that gap runs about 1.76 percentage points. And that spread impacts your mortgage rate. A wider spread tends to push mortgage rates higher than the treasury yield alone would suggest, while a narrower spread keeps rates closer to the treasury yield.
One of the Big Reasons Rates Likely Won’t Drop Dramatically Anytime Soon
If you’re hoping mortgage rates will drop a lot, here’s the reality – they probably won’t, at least not anytime soon. One of the big reasons why comes down to that spread between the 10-year treasury yield and mortgage rates.
A few years ago, that gap got a lot wider as uncertainty in the economy pushed it as high as 3.19 points in 2023.
Now here’s the part worth noting – that gap has been narrowing lately. It’s down to about 2.01, just above the long-term average of 1.76 (see graph below):
When the gap is wide, there’s more room for rates to fall. But when it’s relatively normal, like it is now, there’s less wiggle room for rates to fall.
Why Mortgage Rates Aren’t Higher Right Now
Today’s mortgage rate is basically the treasury yield plus the spread. So, when either one moves, your rate moves with it. Here are 3 different rates, all built off today’s 10-year treasury yield of 4.68% to show you just how much the spread matters for your bottom line (see graph below):
If the spread were still stretched out like it was in 2023, rates would be pushing close to 8% right now. That’s because the spread was over a full point wider than it is today.
But now, thanks to the spread narrowing recently, today’s rate sits around 6.69%. That’s the middle scenario in that visual. That’s a big difference in your monthly payment compared what we could see if the spread was as big as it was 2023. As Logan Mohtashami, Lead Analyst at HousingWire, put it:
“Of course, mortgage spreads being better in 2026 is the housing hero story of the year . . .”
Now compare that middle bar to the 3rd one. If the spread were sitting at its exact long-term average, rates would be around 6.5%. That’s only about a quarter of a point away from where rates actually are today. That means most of the improvement in mortgage rates we should realistically expect from a shrinking spread has already happened.
In other words, the same narrowing spread that’s the reason rates aren’t close to 8% today is also a big reason why they’re not likely to fall a lot further.
Bottom Line
That’s the trade-off with a narrowing spread. Rates may not be where you want them, but they’re better than they could’ve been. If you want help figuring out what that means for your monthly payment, reach out to a local lender.
Thinking About Waiting for Lower Mortgage Rates? Read This First.
Imagine waiting a year to buy a home, only to find mortgage rates haven’t changed much. That may sound frustrating. But it’s a real possibility.
A lot of people are putting their plans on hold because they believe much lower mortgage rates are right around the corner. But, based on today’s forecasts, that may not happen. And you should know that before you decide what to do.
Let’s look at why experts don’t expect a dramatic drop in rates – and the options that could help you buy anyway. Because even if rates don’t fall, you can still move. Here’s how.
1. Mortgage Rates Aren’t Expected To Fall in a Meaningful Way
If you’re waiting for rates to fall, you’re not alone. A recent survey from Clever-Best Interest found 42% of people believe mortgage rates will drop below 5% this year.
The challenge is, that’s not what the experts who study mortgage rates every day are expecting.
Forecasts from Fannie Mae, the Mortgage Bankers Association, and Wells Fargo all show mortgage rates staying relatively steady in the low-to-mid 6% range through at least mid-2027 (see graph below):
Why? Rates are influenced by inflation, the overall economy, Treasury yields, Federal Reserve policy, global events, and a lot of other moving pieces. And right now, those factors simply aren’t pointing toward the kind of dramatic rate drop many buyers are waiting for.
Could rates move a little? Of course. But if you’re holding out for a bigger drop, today’s forecasts suggest you may be waiting a lot longer than you expect.
2. Inflation Is Still Elevated – And That’s Working Against Lower Rates
One reason experts aren’t expecting rates to fall much? Inflation. Generally speaking, high inflation is the enemy of lower mortgage rates.
And after a period of relative stability from mid-2023 to late 2025, recent data shows inflation has actually been trending higher lately (see graph below):
In other words, one of the biggest ingredients needed for much lower mortgage rates simply isn’t in place today. That helps explain why experts aren’t forecasting the kind of meaningful decline so many buyers are hoping for.
3. Today’s Rates Aren’t High, They’re “Normal”
And this may be the biggest mindset shift of all. The reality is, while today’s rates may feel high compared to a few years ago, they’re not high. They’re normal.
Historically, mortgage rates have spent the majority of their time somewhere between about 5% and 10%. And data from Freddie Mac shows we’re actually well in that range today. It just feels high because we all remember the ultra-low rates homeowners got during the pandemic (see graph below):
Now, this doesn’t suddenly make a 6% mortgage feel exciting. But it does remind us that waiting for super low rates again may not be a realistic strategy.
So… What Should You Do Instead?
None of this is meant to convince you that you have to buy today. You don’t. But if you need to because something in your life’s changed, there are still ways to find better affordability without waiting for mortgage rates to fall.
- Check out newly built homes. Many builders are offering incentives to attract buyers, including price cuts, potentially lower rates, free upgrades, and more.
- Ask about an adjustable-rate mortgage (ARM). If you don’t plan to stay in the home long-term, an ARM may offer a lower initial interest rate than a traditional 30-year fixed mortgage. It’s not the right choice for everyone, but it’s worth asking a lender if it fits your plans.
- Look into mortgage rate buydowns. This is when you pay upfront to reduce your mortgage rate so you can get for a lower monthly payment without waiting for rates to fall.
- Find out about assumable mortgages. An assumable mortgage allows you to take over the seller’s existing loan, including its lower mortgage rate.
The important thing is you shouldn’t assume waiting is your only option.
Talk with your real estate agent and lender about whether one of these strategies could be a good fit for you.
Bottom Line
If you’ve been putting your home search on hold because you’re convinced mortgage rates will be much lower soon, it may be worth taking another look at that strategy.
Let’s connect so you have an expert who can at least walk you through your options and decide whether waiting really puts you in a better position – or just keeps you on the sidelines a little longer.
Here’s Where To Start if You’re Selling and Buying at the Same Time
If you’re a homeowner getting ready to move, one question usually comes first: should you buy your next home before you sell, or sell your current house before you start looking?
There’s no single right answer. The best call depends on your finances, your local market, and your timeline. And a trusted agent can help you weigh all of it.
But in a lot of cases these days, selling first puts you in the stronger spot.
The Advantages of Selling First
Selling is usually the trickier half of a move today, so getting it done first clears your biggest hurdle. And that’s especially true right now, because there are more homes for sale than there are buyers, which means houses are taking longer to sell than they did a year or two ago.
So how does leading with your sale pay off? Let’s start with the money.
- You Won’t Get Stuck Paying Two Mortgages
Buy before you sell, and you could end up carrying two mortgages at once. And especially since houses are staying on the market longer these days, that overlap may drag on for more time than you’d planned. And if unexpected repairs come up, it could get even more expensive.
Selling first takes that risk off the table, so you’re not multitasking homeownership. As Ramsey Solutions puts it:
“It’s best to sell your old home before buying a new one to avoid unnecessary risks and possible headaches.”
- You Can Use Your Equity To Fuel Your Move
This is always true, but one of the biggest perks of selling first is that you’ll know exactly how much money you’re walking away with. And one of the big figures that matters in that conversation is how much equity you have in your current place.
Equity is basically your house’s value minus what you still owe on your mortgage. And it adds up fast. According to Realtor.com, homeowners who’ve been in their home for 5 years have about $180,000 in equity on average. And those who’ve had their home for 6-10 years? They have over $340,000.
After you sell, you can use that money to cover your down payment or even buy your next home in cash. And knowing that profit up front helps you plan your next move.
- Your Offer Will Be Hard To Pass Up
When your house is already sold, you don’t have to make your offer contingent on that sale. In a market where buyers are taking their time, that’s exactly what a seller wants to see.
Picture it from the seller’s side. If their house has been sitting for a while, they’ll gravitate toward the offer most likely to close without a snag.
That can also give you room to ask for a little more, like repairs, since a motivated seller would rather keep things moving than lose you and wait for another offer to come in. Your agent can help you make the most of your upper hand in that scenario.
Is There a Catch?
Selling first has its tradeoffs too, and it helps to see the pros and cons side by side before you decide. Here’s a quick breakdown based on information from Zillow (see visual below):
The cons are manageable with the right plan, so talk about them with your agent. They can help you negotiate things like a rent-back, where you stay in your house for a set time after closing, or line up flexible closing dates to keep the transition smooth.
Bottom Line
There’s no one-size-fits-all answer to buying and selling at once. But for a lot of homeowners, leading with the sale makes moving easier on their mind and their wallet.
Let’s connect, so you can navigate selling and buying with more confidence, more financial power, and less stress.
