As we head toward 2026, Redfin’s “2025 Year in Review” points to something many homeowners and home shoppers have been waiting to hear: the housing market didn’t just cool off—it rebalanced. After years of seller-friendly conditions, 2025 was a watershed year where leverage began shifting back toward buyers in many parts of the country. That doesn’t mean every neighborhood suddenly became a bargain, but it does mean strategies that felt impossible a year or two ago—negotiating price, asking for repairs, or requesting closing cost credits—became realistic again.
What a “buyer-shift” market really means
In practical terms, a market that tilts toward buyers often shows up as more listings, longer time on market, and more price adjustments. When homes aren’t selling in a weekend, buyers gain time to compare options, run the numbers, and include protective contingencies. Sellers still have opportunities, but the “name your price and waive everything” era is less universal than it was.
For buyers, this shift can reduce the pressure to overbid. For sellers, it raises the importance of presentation, pricing, and flexibility. And for homeowners considering refinancing, it changes how to think about timing—especially if lower-rate windows open and competition returns in bursts.
If you’re buying in 2026: how 2025’s trends help you
Buyers benefit most when they pair improved negotiating power with a clear plan for affordability. Even in a more balanced market, monthly payment still matters more than the headline price.
- Negotiate beyond the price. In a buyer-friendlier environment, you may be able to request seller credits to lower your closing costs, fund repairs, or help buy down your rate.
- Ask for inspections and protections. When bidding wars ease, you can more confidently include inspection and appraisal terms that protect your budget.
- Compare loan structures. The right mix of down payment, points, and term length can materially change your payment—even if home prices don’t fall dramatically.
- Use time to your advantage. With homes sitting longer, you can revisit listings after price reductions or when sellers become more motivated.
The biggest takeaway: a buyer-shift market can give you choices, but the best outcomes go to shoppers who get pre-approved early, understand their target payment, and negotiate strategically.
If you’re selling: winning in a more competitive landscape
When buyers have options, sellers need to earn attention. In 2025, many markets saw that the homes selling fastest were the ones that felt turn-key and were priced in line with current demand—not last year’s peak expectations.
- Price for today’s market. Overpricing can lead to longer days on market and larger eventual reductions.
- Make the home easy to say “yes” to. Small repairs, fresh paint, and clean staging can reduce inspection surprises and strengthen offers.
- Be open to concessions. Credits for closing costs or rate buydowns can be the difference-maker for payment-sensitive buyers.
- Have a plan for your next move. If you’re also buying after you sell, a balanced market may help you on both sides—more negotiating power as a buyer, but more competition as a seller.
In short, 2025 reminded sellers that preparation and flexibility can protect your net proceeds—especially when buyers aren’t rushing.
If you’re refinancing (or considering tapping equity): what changes
Refinancing decisions are personal, but 2025’s evolving conditions highlight a few key themes. First, many homeowners are still sitting on older, lower-rate mortgages—so a traditional rate-and-term refinance may only make sense if rates dip enough or your credit profile has improved significantly. Second, homeowners facing major expenses (renovations, debt consolidation, tuition) may consider options like a cash-out refinance or a home equity loan/HELOC—each with different tradeoffs.
- Focus on the break-even point. If you refinance, ask how long it will take monthly savings to outweigh closing costs.
- Consider payment stability. Fixed vs. adjustable options can matter more when the future path of rates is uncertain.
- Use equity carefully. Tapping equity can be useful, but it changes your long-term cost and risk profile—especially if home values fluctuate.
The right move depends on your timeline, cash flow goals, and how long you plan to stay in the home.
The bottom line for 2026 planning
Redfin’s review underscores a simple message: 2025 brought negotiating power back into the conversation. Buyers may find more room to negotiate, sellers need sharper strategy, and homeowners exploring refinancing should evaluate options with an eye on total cost—not just the rate. Whether you’re purchasing your first home, selling a longtime property, or optimizing your mortgage, clarity and preparation will be your advantage.
Ready to explore your options? Schedule a free consultation with our team today!