With more homes listed, how much leverage do buyers have on price or credits?

Have you noticed more homes popping up for sale lately and wondered: do I now have more leverage to negotiate on price or ask for seller credits? The short answer: yes, especially if you’re working with the right advisor and the right market. Let me break it down—no fluff, just real talk.

1. What’s going on in the market?

Over the past couple of years, supply has been creeping up. More listings = more options for buyers. When there are more homes than eager buyers, the dynamics shift. That’s the textbook description of a “buyer’s market.”

And the data backs it: one recent analysis shows around 44.4% of U.S. home sellers offered concessions in Q1 2025 — nearly matching the all-time high and way up from just a year ago. So yes, the pendulum is swinging toward buyers—at least in many places.

2. Why that means more negotiating room

If sellers are facing more competition (more inventory, longer days on market), they’re more motivated to make a deal. That gives you options:

• Lower list price or more flexibility on the sale price

• Seller-credits (also called seller concessions) for closing costs, rate buydowns, repairs, etc.

• More favorable terms: longer escrow, repair requests accommodated, etc.

One good article puts it this way: “This expanded inventory empowers you with greater choice, reduced competition, and, most importantly, enhanced negotiating leverage across various aspects of the home purchase.”

3. What you can realistically ask for

Now, don’t think this means unlimited leverage. It’s still a negotiation. Here are tools you should be talking about:

Price reduction: If comps support it and the home has been sitting.

Seller credits toward closing costs: Rather than dropping the price, a seller may offer to pay for part of the buyer’s costs at closing. For example, covering lender fees, title insurance, prepaid taxes.

Rate buy-down: The seller pays points to lower your mortgage rate. Especially smart if you’ll carry the loan a long time. (Some sellers prefer this because it doesn’t reduce the sale price on paper.)

Repair credits or improvements: If the home inspection reveals issues, you can negotiate repairs or credits instead of doing the work yourself.

4. Local angle: Why this matters for you in Huntington Beach

Since you’re looking in Huntington Beach (and broadly Orange County), here’s what you need to keep your eyes on — because national trends don’t always translate 1-for-1 locally. The key metrics that give you negotiating power are days on market, price reductions, and active inventory.

• When a home has been listed for 40-60+ days and especially after a recent price drop, it could signal extra wiggle room and a seller who may be more open to incentives.

• Ask your agent (like me) to pull how many similar homes are active in your target neighborhood and price tier. If the market is saturated, you hold more leverage.

• Check how many times the home’s price has been reduced — multiple reductions often mean the seller’s motivation has increased.

• Because Huntington Beach is a high-demand surf-and-sun kind of market, even small shifts in competition can matter. What happens in the broader market is a cue, not a guarantee.

5. How to walk into the negotiation smart (and strong)

Here’s a checklist you can use (or hand your buyer clients):

• Get pre-approved: Strong buyers command more respect.

• Know the comparables: Show the seller you’re not just throwing numbers around—you’re informed.

• Ask for more than just price: “Yes, what can you do on the credit side or rate buydown?”

• Be flexible on terms: If you want credits, maybe you allow a quicker closing or fewer contingencies—trade-offs matter.

• Be ready to walk away: If you’re not urgent, you have power. When buyers act desperate, leverage vanishes.

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6. Final take (and your message to buyers and sellers)

Bottom line: With inventory up, yes—you do hold more cards than you did a year or two ago. You may not get everything you ask for, but you absolutely can ask for—and often receive—credits and concessions beyond just the price. So for buyers: Don’t just see the list price. See the potential credits, the rate buydown, the repairs, the terms. And for sellers: Know you may need to offer more incentives to stand out—whether that’s price, credits, or flexibility.

In your role as a buyer’s or seller’s advisor, this is your time to shine. Use your local expertise, your negotiating edge, and give your clients the facts—they’ll thank you for it.