For a long time, sellers had the advantage in the housing market. There weren’t many homes for sale, but there were plenty of buyers, which meant fierce competition just to get an offer accepted. But now, inventory is increasing, and in many areas, things are starting to level out.

So, is the market finally leveling out? And does that mean things are getting a little easier for buyers? Here’s what you should know.

How Do You Know If It’s a Buyer’s or Seller’s Market?

It all comes down to the number of homes for sale versus the number of buyers looking to purchase in a given area. That’s what really decides who has the upper hand.

A seller’s market happens when there are more buyers than available homes, giving sellers the upper hand. This usually means rising prices, multiple offers, and homes selling fast—often for more than the asking price—because demand is higher than supply.

A buyer’s market happens when there are more homes for sale than there are buyers. In this situation, the advantage shifts to buyers. Sellers might have to offer incentives or be more flexible on price to close a deal since buyers have more options and can take their time deciding.

You can see how this trend has played out over time in the data from the National Association of Realtors (NAR) in the graph below.

How the Market Is Shaping Up Right Now

It’s still a seller’s market in many areas, but in some places, buyers have more negotiating power than they’ve had in years. That’s largely due to the recent increase in inventory. As Lance Lambert, Co-Founder of ResiClub, puts it:

"Among the nation’s 200 largest metro area housing markets, 41 markets ended January 2025 with more active homes for sale than they had in pre-pandemic January 2019. These are the places where homebuyers will be able to find the most leverage or market balance in 2025."

Here’s a rundown of some of the hottest seller’s markets and the best buyer’s markets right now, based on that research!

Do you know how to tweak your plans depending on who has the upper hand in negotiations? A good agent does!

Smart strategies can make buying in a seller’s market (or selling in a buyer’s market) much easier. That’s why having a pro on your side is so important! A local real estate agent knows the market inside and out—they understand supply, demand, and how to help you navigate the process no matter the conditions. So, whether your area made the list or not, the right agent can help you make it happen!

With their expertise, you’ll be ready to buy or sell smoothly, no matter what the market’s doing!