How a ‘softening' real estate market could help you score a lower price on a home

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Homes are taking longer to sell, which is helping buyers successfully negotiate the asking price for a home.

Home prices may have hit a new high, but the real estate market is showing signs of weakness that could help buyers negotiate a lower price on a house.by online real estate brokerage Redfin. June 2024 was the first time homes have sold below asking price since 2020, the report says.

which is why U.S. home sale prices have increased 4.9% in the last year to a median of $397,954, according to Redfin data.But there's been some recent pull back on demand, too, largely driven by high mortgage rates hovering around 7%, along with a low inventory of homes Considering that many would-be buyers have been priced out of the market by high mortgage rates, lowering rates would increase the number of potential buyers able to afford a home. This would"boost demand" and potentially accelerate price gains, says Fairweather.Homebuyers are more likely to negotiate a lower asking price on a home listing that's been on the market for more than a couple of weeks, says Fairweather.

 

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