The current market dynamics present a prime opportunity for residential real estate investment and development. Key trends include:

1. Increased Housing Inventory: Inventory has reached its highest level since 2019, with 4.3 months of supply. More housing stock creates opportunities for investors to negotiate favorable terms and capitalize on competitive pricing.

2. Price Adjustments: Median home prices are softening, and nearly 19% of homes have seen price cuts. This indicates a shift toward a more balanced market, ideal for value-driven acquisitions.

3. Motivated Sellers: Longer market times and higher inventory levels are pushing sellers to offer concessions, such as closing cost coverage or price reductions.

4. Reduced Buyer Competition: Homes are spending more time on the market—an average of 58 days—allowing buyers and developers to carefully evaluate opportunities without rushed decision-making.

As the market transitions from a seller-driven environment, developers can secure land or existing properties at competitive rates while positioning themselves to benefit from anticipated demand recovery in the coming years.

For investors ready to act, the conditions are ideal to lay the groundwork for future success.