Many homes are sitting unsold for months due to overpricing, raising concerns for sellers and buyers alike

Nashville: More homes are sitting on the market longer, and it’s causing a bit of a stir. Many sellers are overpricing their homes, thinking they can get what they saw during the buying frenzy of 2021-22.
In December 2024, half of the homes listed were on the market for over 70 days. That’s a jump from 61 days the previous year. And the number of homes sitting for more than 180 days is also rising, hitting 24.3% last month.
Buyers are getting wary of these stale listings, thinking something might be wrong with the homes. But experts say the main issue is just that sellers are asking too much. Joel Berner, a senior economist, points out that sellers often look at what their neighbors got and don’t want to list for less.
Even though home prices are still climbing, it’s at a much slower pace than before. In some areas, prices are flat or even dropping, which is a tough reality for sellers used to seeing their home values soar.
Last month, time on the market increased in 46 out of the 50 largest metro areas. Nashville, Orlando, and Rochester saw the biggest jumps, with homes sitting longer than they did before the pandemic.
At the state level, 12 states are seeing homes spend more time on the market than they did from 2017 to 2019. This includes places like California, Florida, and Texas.
Mortgage rates are also playing a big role. After dipping last fall, they’re creeping back up to around 7%, which is making it harder for buyers to afford homes. This is leading to fewer sales and more stale listings.
Experts say this isn’t the end of the world, though. It might just mean we’re returning to a more normal market where homes take longer to sell. The average time on the market is still less than it was in the years before the pandemic.
For sellers struggling to find buyers, the best advice is often to lower the price. Some sellers resist this, so agents might suggest other fixes, like fresh paint or landscaping, to make the home more appealing.
Sometimes, if a home has been on the market for too long, it’s best to take it off and relist later. If it still doesn’t sell after a year, it might be time to try a new agent. It’s all about finding the right strategy to get that sale.