In March, the typical home listing spent 57 days on the market—four days longer than in March 2025—according to Realtor. This signals a significant shift, moving the housing market away from rapid sales. Buyers gain more time to consider options and negotiate terms, influencing home valuations in 2026.
Active listings have climbed for 29 straight months, but national home price growth has cooled significantly. Supply now increases faster than demand. Despite this, national home prices grew a meager 0.8% annually, rather than declining, revealing an underlying market resilience.
As inventory rises and price growth moderates, the housing market transitions from a seller's stronghold to a more balanced, fragmented environment. This offers buyers more leverage in the coming months.
Defining Buyer's and Seller's Markets
A buyer's market typically has over six months of housing supply, meaning more homes than active buyers, according to Investopedia. A seller's market, conversely, has fewer homes than buyers, leading to quicker sales and higher prices.
The U.S. housing market is the most fragmented since at least 2018, Realtor reports. National trends, therefore, mask localized realities. Only 8 of the 50 largest metros are buyer's markets; 23 more are balanced but loosening. This fragmentation implies that understanding local conditions is critical for buyers and sellers, as national averages offer little guidance.
Current Trends: Cooling Prices and Rising Inventory
| Market Characteristic | Buyer's Market | Seller's Market |
|---|---|---|
| Inventory Levels | High, 6+ months of supply | Low, less than 6 months of supply |
| Time on Market | Longer listing periods | Shorter listing periods |
| Price Trends | Prices stabilize or decline | Prices appreciate rapidly |
| Negotiation Power | Favors buyers | Favors sellers |
National home price growth cooled significantly. The S&P Case-Shiller U.S. National Home Price Index gained 0.8% in April 2026, down from 2.8% in April 2025, according to US Bank. A 1.4% annual gain occurred in 2025, Forbes reports. The deceleration from 2025 into early 2026 suggests an accelerating cooling trend, not a stabilization.
