Nashville recorded the highest seller surplus in the U.S. housing market in May, with an estimated 130% more sellers than buyers. The U.S. market reported an estimated 1,483,839 active home sellers in May, an increase of 0.4% from April and the highest level since 2020.
There were an estimated 1,010,386 active home buyers in May, a 0.1% change from April. The overall seller surplus in the U.S. housing market was 46.9% in May, marking an increase from 46.4% in April.
35 of 49 analyzed U.S. metropolitan areas were classified as buyer's markets in May. Miami followed Nashville with an estimated 122% more sellers than buyers, while Austin reported 116% more sellers than buyers. Houston had 111% more sellers than buyers, and San Antonio had 108% more sellers than buyers.
The seller surplus increased month over month in 23 of the 35 buyer's markets. Oakland, California, had 31% more sellers than buyers in May, up from 21% in April.
Home-sale prices increased by an average of 4.3% year over year across the seven seller's markets in May. Home-sale prices in buyer's markets increased by an average of 1.6% year over year during the same period. Mortgage interest rates reached their highest level in 12 months in May.
Asad Khan, a Senior Economist, said, "While the gap between homebuyers and sellers has narrowed slightly since the end of last year, house hunters still have far more negotiating power and less pressure to make rushed decisions." Khan added, "With lots of inventory to choose from, buyers in most of the country can be selective and ask for concessions, while sellers still need to price competitively to stand out. Still, buyers should remember that it is not quite as strong of a buyer's market as it once was. The most desirable homes in popular metro areas and popular neighborhoods in all areas are still attracting multiple offers." Real estate agent Aaron Glicken said, "Listings are skyrocketing and buyers are being picky."