If you’ve been in the market for a new home—or even just watching from the sidelines—you’ve probably felt the frustration that’s gripped the housing market in recent years. For a while, finding a home you liked (and could afford) felt like a distant dream. But now, after a long stretch of tight inventory and intense competition, the winds are finally starting to shift. There’s good news: More homes are hitting the market, giving buyers like you more options.

However, it’s not a one-size-fits-all recovery. The pace and scale of inventory growth vary widely from one region to the next. That’s where a local real estate expert becomes your best ally. Let’s break down what’s happening nationally, regionally, and locally—and what it all means for your next move.

A National Shift: More Homes Are Hitting the Market

Across the country, the number of homes for sale is trending upward. This is a major turning point. According to data from Realtor.com, every region in the U.S.—the Northeast, Midwest, South, and West—has seen a notable increase in inventory compared to the same time last year.

To put some numbers on it:

• In the West, housing inventory has soared nearly 41% year-over-year.

• The Midwest and Northeast have seen gains around 23-26%.

• Even the South, where population growth has been strong, shows an uptick of about 19%.

That kind of consistent national growth hasn’t been seen in quite some time. And there are two main reasons behind the surge.

Why Is Inventory Increasing Now?

First, more sellers are listing their homes. Many homeowners delayed putting their properties on the market, hoping that mortgage rates would come back down. But after waiting through fluctuating rates and uncertainty, some are realizing it may be time to move forward regardless.

In fact, May 2025 had more new listings than any May in the past three years. That’s a sign that sellers are growing more confident about listing—and many feel ready to make their move, even if mortgage rates remain higher than they were a few years ago.

Second, homes are taking longer to sell. That’s not necessarily a bad thing—it just means homes aren’t flying off the shelves like they were during the pandemic boom. According to Realtor.com, the typical home spent 51 days on the market in May, which is much closer to historical norms.

When homes stay on the market longer, they accumulate in the inventory count. That gives buyers more time to evaluate their options and reduces the intense pressure to act immediately.

Together, these trends are helping to rebalance the housing market. As Danielle Hale, Chief Economist at Realtor.com, puts it:

“The number of homes for sale is rising in many markets, giving shoppers more choices than they’ve had in years . . . the market is starting to rebalance.”

A More Balanced Market: What That Means for You

If you’ve been waiting for the housing market to give you a sign—it just did. For years, sellers held the upper hand, often fielding multiple offers within days. But as inventory grows, buyers are gaining more leverage. That doesn’t mean prices are falling everywhere or that competition is disappearing entirely. It just means the playing field is starting to even out.

More choices reduce bidding wars and give buyers a chance to shop more thoughtfully. You’re less likely to be forced into a rushed decision or pressured into waiving contingencies just to win a home.

This rebalancing also gives you flexibility on the timing of your move. With more inventory available and homes taking slightly longer to sell, you can plan your home search and transition more intentionally.

Inventory Growth Varies By Region

Here’s where things get more nuanced. While the national picture is promising, the pace of growth depends on where you live.

Some regions, particularly the West and Midwest, have seen inventory return closer to pre-pandemic levels. In these areas, the number of homes for sale is getting back to what we’d consider a “normal” housing market—like what we experienced between 2017 and 2019.

Other regions are seeing improvement but still have a ways to go. If your local market is one of those where inventory is still below historical norms, it may mean fewer choices—or faster competition—for the homes that do come up for sale.

That’s why it’s important to work with a local real estate agent who understands the inventory trends in your specific area. National data is a helpful big-picture tool, but real estate is always local. Your agent can tell you if your market is one of the ones returning to normal or still lagging behind.

They’ll also guide your strategy—whether that means moving quickly when the right home appears, negotiating wisely in a more balanced market, or adjusting your expectations on price and location.

What You Can Do Right Now

If you’re planning a move in the near future, here’s how you can put this information to work:

• Get Pre-Approved for a Mortgage: Even with more inventory, having financing lined up will give you a serious advantage. You’ll be ready to act when you find the right home.

• Connect with a Local Agent Early: Don’t wait until you see your dream home online. An experienced local agent can help you understand your market’s current dynamics, recommend properties before they hit public listings, and guide you through negotiations.

• Set Realistic Expectations: More inventory means more options, not unlimited ones. Be clear on what you need versus what you want in a home. Your agent can help refine your criteria so your search is focused and productive.

• Be Ready to Act Smartly, Not Hastily: You may have a little more breathing room than in past years, but that doesn’t mean you should wait too long to make a decision. Good homes still go fast—just not at warp speed.

Bottom Line

The housing market is shifting—for the better. Inventory is rising across the country, giving buyers more choices and helping the market rebalance after years of intense competition and low supply.

But remember: not all markets are moving at the same pace. That’s why working with a knowledgeable, local real estate agent is more important than ever. They’ll help you navigate the trends in your area and craft a smart strategy to make your next move confidently.

Whether you’re ready to buy now or just starting to explore your options, now is the time to re-engage with the market. With more listings and a slower pace, this might just be the opening you’ve been waiting for.