Sellers retreated from the U.S. housing market in August, reacting to subdued interest from budget-constrained buyers, per Zillow’s latest report. Active buyers face a wealth of choices, particularly in regions with robust inventory levels.
Yet the rapid shift toward buyer-friendly conditions seen in prior months is stalling on a national scale.
“Buyers who can swing a purchase and have held off for the ideal entry point should scrutinize current listings,” advised Zillow Senior Economist Kara Ng. “Homes are available, though not always the newest arrivals. Those on the sidelines should reassess their finances—mortgage rates are down from recent peaks, and in certain areas, sellers are open to negotiation. That said, this buyer edge won’t last forever. Leverage is waning as more sellers delay their listings.”
Key Market Shifts: Cautious Buyers Prompt Seller Caution
Soaring home prices keep many would-be buyers out, benefiting those still searching. Zillow’s market heat index indicates a balanced landscape nationally, with buyer competition at its lowest for any August since 2018.
Consequently, home values have flatlined. Zillow’s Home Value Index reports zero growth over the past year—the weakest annual pace for any month since early 2018, the second-slowest overall in that period.Homes are lingering longer on the market as well.
Buyer-Friendly Markets: Southern Swing States Tip Toward ShoppersBuyers wield the greatest leverage in the South, where pandemic-fueled boomtowns have cooled into opportunity zones.
Cities like Miami, Tampa, Jacksonville, and Austin now boast more active listings than pre-2020 levels, bolstered by builders ramping up construction to satisfy pent-up demand.
Even Seattle has flipped the script—from a seller’s stronghold to a buyer’s playground in just one year—fueled by a 22% surge in inventory.
| Metro Area* | Zillow Home Value Index (ZHVI) | ZHVI Year over Year (YoY) | Share of Listings With a Price Cut | Market Favors (Zillow Market Heat Index) | Inventory Change YoY | New Listings Change YoY | Median Days to Pending |
| United States | $363,946 | 0.0 % | 25.8 % | Neutral | 15.3 % | -3.0 % | 27 |
| New York, NY | $705,186 | 2.9 % | 13.7 % | Strong Seller | 7.4 % | -1.2 % | 32 |
| Los Angeles, CA | $945,166 | -1.3 % | 23.5 % | Seller | 24.1 % | -6.0 % | 28 |
| Chicago, IL | $341,381 | 3.3 % | 27.7 % | Seller | -3.5 % | -7.3 % | 13 |
| Dallas, TX | $365,592 | -3.9 % | 33.0 % | Neutral | 19.0 % | -5.8 % | 42 |
| Houston, TX | $307,762 | -2.0 % | 29.3 % | Neutral | 28.0 % | -5.2 % | 46 |
| Washington, DC | $575,681 | 0.8 % | 26.0 % | Seller | 36.0 % | -1.0 % | 19 |
| Philadelphia, PA | $381,504 | 3.1 % | 23.2 % | Seller | 9.3 % | -3.8 % | 14 |
| Miami, FL | $471,510 | -4.9 % | 20.3 % | Buyer | 18.2 % | -12.4 % | 65 |
| Atlanta, GA | $382,242 | -3.2 % | 30.4 % | Buyer | 20.8 % | -9.5 % | 47 |
| Boston, MA | $720,695 | 1.0 % | 19.0 % | Strong Seller | 21.0 % | 3.7 % | 21 |
The median August sale took 27 days to close, up a full week from last year and a day beyond pre-pandemic averages. Defying usual late-summer slowdowns, however, buyer rivalry edged higher in the period’s final weeks.
Homeowners, mirroring buyer hesitance, have largely shelved listing intentions. New listings hit an August record low in Zillow’s data, with a 7.3% month-over-month plunge exceeding typical seasonal dips.
Good Advice for Buyers in the Atlanta Housing Market
- Get pre-approved for a mortgage early: In Atlanta’s buyer-friendly market, where inventory has surged 37% year-over-year and homes linger for 47+ days, a strong pre-approval letter gives you an edge in negotiations and shows sellers you’re serious—potentially unlocking concessions like closing cost help.
- Leverage the increased inventory for better deals: With over 9,100 homes listed in Atlanta last month (up 10% from prior) and more than 30% of listings seeing price cuts, shop around without rushing—aim for properties that have sat on the market longer to negotiate reductions of 5-10% off asking price.
- Reassess your budget amid stabilizing rates: Mortgage rates are dipping toward 6-6.5% by year-end, boosting purchasing power in a market where median prices hover around $380K-$400K (down 2-3% annually)—factor in extras like 2-3% property taxes and HOA fees to avoid overextending
- Target affordable suburbs for value: While Buckhead and Midtown may see 2-3% appreciation, explore stable, lower-cost areas like East Atlanta or Decatur for better entry points and less competition—suburban inventory is up, offering negotiation room without sacrificing Atlanta’s job-driven growth.
- Work with a local Atlanta realtor: Partner with an agent who knows neighborhood trends—like the 9% sales uptick in metro areas—to navigate the balanced market (4.6 months of supply) and spot off-market deals before they hit listings.
- Build a buffer for closing costs and inspections: Expect 2-5% of the home price in fees; in Atlanta’s cooling scene, insist on thorough inspections to uncover issues in older stock, and use findings to renegotiate—especially with 25%+ of homes needing price adjustments.
Final Word
Don’t wait for a crash—act if it fits your needs: Nationally and in Atlanta, experts predict gentle 2-3% price rises through 2025 with no downturn; if the home meets your long-term plans and finances, buy now to lock in before demand rebounds with lower rates.
Atlanta has one of the best real estate markets in the country, with affordable housing in every quadrant of the city. Large backyards, manicured parcels and strong neighborhoods with ample dining amenities make it one of the top places for transplants.
Not to mention that the city’s dining scene is the best in the Southeast. Looking for a home? Check out our Real Estate Resource Page.
Keep up with what’s going on in Atlanta’s real estate scene here with our Apartment Guide.
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