Why Are Sellers Not Selling?

Expired listings are at an all-time high in Austin, why?

Jason Henry
August 13, 2025

Home Sellers Pull Listings as Market Dynamics Shift: Delistings Surge Nearly 50% in May 2025

The U.S. housing market is showing signs of hesitation among home sellers as many are opting to pull their listings from the market rather than accept lower offers. According to the latest report from Realtor.com, delistings jumped 47% nationally in May 2025 compared to a year earlier, signaling growing seller reluctance in a market that is softening for buyers.

What’s Driving the Rise in Delistings?

In the face of a market with more inventory and softer buyer demand, sellers are increasingly unwilling to negotiate prices, choosing instead to wait for better market conditions. This trend is partly fueled by:

Strong Equity Positions: Many homeowners have built record-high equity, giving them the financial flexibility to wait rather than sell at a loss.
Rising Inventory: Active home listings increased 29% in June year-over-year, providing buyers with more options and weakening the seller’s leverage.
Price Reduction Surge: Over 20% of homes had price cuts in June 2025, the highest June share since at least 2016, but many sellers remain anchored to peak price expectations.

Realtor.com senior economist Jake Krimmel explains, "Unlike past cycles where falling prices pressured underwater homeowners to sell, today’s sellers can afford to wait out the market." This is particularly evident in the South and West regions where inventory increases and flat or falling prices have pushed sellers to delist rather than lower prices.

Key Market Statistics

For every 100 newly listed homes in May, 13 were delisted, up from 10 in the previous two springs and just 6 in 2022.
The national median list price held steady at $440,950 in June 2025, slightly up 0.2% from the previous year, despite the uptick in price cuts and delistings.
The median days a home stayed on the market rose to 53 days in June, five days longer than a year ago, reflecting slower market action.

Metro Areas Leading in Delistings and Price Cuts

Phoenix: Leads the nation with 30 homes delisted for every 100 newly listed and a high share of price cuts.
Miami & Riverside, CA: Also show high rates of delistings.
Denver: Led in price reductions with 34% of listings having cuts in June.
Austin, TX: Follows closely in price-reduced shares, signaling cooling demand.

Market Outlook: A Study in Contrasts

Danielle Hale, chief economist at Realtor.com, describes the current market as a "study in contrasts." Buyers benefit from more choices and softening prices, yet sellers remain anchored by expectations tied to peak-era prices. This dynamic is causing some sellers to step back and wait it out instead of adjusting their prices to market realities.

The growing number of delistings indicates a standoff between buyers and sellers that may slow transactions and extend the time homes remain on the market. While inventory growth gives buyers more options than in recent years, the reluctance of sellers to reduce prices or sell at a loss keeps the market in a delicate balance.

What This Means for Buyers and Sellers

For buyers, the increased inventory means more choices but also a need to be patient as sellers test the market and sometimes withdraw listings. For sellers, those who cannot meet buyer expectations face a tough decision: lower prices to sell now or risk waiting indefinitely with their home off the market.

Overall, the data suggests a gradual market rebalancing where buyers gain leverage but sellers still hold some cards, particularly through their ability to delist and wait for better prices in the future.

This is exactly why seller’s need to understand if the have to sell then we should price the home ahead of the market decline. This way we can capture all the equity before it is lost.

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