With more supply than demand, sellers may need to lower their asking prices to make their properties more attractive. “We’re seeing sellers become more flexible on concessions and price if the property sits for more than 45 days,” Marc Halpern, CEO of Foundation Mortgage, previously told Mortgage Professional America.
Buyers gain leverage, but prices hold
Despite the oversupply, prices have remained resilient. The typical condo sold for 2% below asking in August, and units lingered on the market for 58 days. That’s two weeks longer than last year and the slowest August in 12 years.
Industry analysts caution that buyers should scrutinize HOA finances and potential special assessments before committing. “It’s a good idea to talk to a mortgage lender about bundling all the monthly costs of owning a condo,” Redfin advised.
While the flood of condo sellers has yet to trigger a dramatic price drop, the current market offers rare leverage for buyers—at least for now. With some sellers retreating and affordability pressures mounting, the window for deals may not stay open indefinitely.
“This is also a good market to negotiate a strong bargain,” Halpern said. “Especially if you’re a serious buyer with flexible financing. Sellers with homes sitting on the market are more open to concessions, rate buydowns, and price adjustments. We’re not seeing a market crash, but we are seeing more room for negotiation than we’ve had in years. Brokers who know how to structure creative offers can help their clients capitalize on that.”