This fourth consecutive month of record-breaking disparity highlights a market driven by caution rather than strength. While the sheer volume of listings suggests a favorable environment for house hunters, high mortgage rates and persistent economic uncertainty have sidelined many prospective buyers. According to Redfin senior economist Asad Khan, the current negotiating power held by buyers is a byproduct of a shrinking pool of qualified participants rather than increased affordability.

In September, the number of homebuyers fell to approximately 928,892, the lowest level since 2013, while the inventory of sellers climbed to 1,510,784. This trend is most pronounced in the Sun Belt, where robust homebuilding efforts have met cooling demand, resulting in buyer-heavy markets in cities like Miami, Nashville, and Houston. Conversely, just five major metro areas—including San Francisco and several Northeast regions—remain seller’s markets, largely due to constrained supply and localized economic factors that keep competition high.