1014 ET - The U.S. housing market has nearly 500,000 more sellers than buyers, and that will likely cause home prices to fall. Redfin says there are an estimated 1.9 million home sellers, and an estimated 1.5 million homebuyers. That's 33.7% more sellers than buyers. A year ago, sellers outnumbered buyers by just 6.5%, and two years ago, buyers outnumbered sellers. There haven't been this many home sellers since March 2020, Redfin says. When sellers are competing for a small pool of buyers, that indicates a buyer's market. And when it's a buyer's market, home prices can fall because buyers have negotiating power. Sellers outnumber buyers because high home prices and mortgage rates are scaring buyers off. Also, the mortgage rate lock-in effect is slowly easing. (chris.wack@wsj.com)

(END) Dow Jones Newswires

May 29, 2025 10:14 ET (14:14 GMT)

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