Home sellers across the United States are pulling listings at the fastest pace in nearly a decade, tightening inventory amid weak buyer demand and softening prices.
Delisting Surge Hits Record Levels
In September 2025, nearly 85,000 sellers delisted properties, up 28% from September 2024, the highest for any September in eight years. Realtor.com data for October shows delisting jumped 45.5% year-to-date and 38% from October 2024, with about 6% of active listings removed monthly. This “unusually high” rate, tracked since 2022, started climbing in June and persisted for five straight months.
Reasons Behind Mass Delistings
Properties linger unsold, with 70% on the market over 60 days in September, driving sellers to withdraw rather than cut prices deeply. Average price drops hit $10,000 per listing, totaling $25,000 cumulative cuts in October, the largest on record per Zillow data. About 15% of delisted homes risked selling at a loss, the highest in five years, as national home prices rose just 1.3% year-over-year in September.
Inventory and Market Impact
Delisting keep supply tighter than headline numbers suggest, propping up sale prices despite 15% more inventory than last year. Redfin economist Asad Khan notes this reduces the actual homes for buyers, sustaining elevated prices. One in five delisted homes relists within months, often waiting for spring. Pending sales edged up 1.9% month-over-month in October but stayed flat year-over-year.
Regional Hotspots and Buyer Shifts
Cities like Miami, Denver, and Houston saw the highest delisting-to-new-listing ratios after pandemic price booms. Canceled contracts rose to 15% in October, up from 14% last year, led by San Antonio (21%), Fort Worth (20%), and Las Vegas (19.2%). Buyers flock to “refuge markets” like Cleveland, Milwaukee, Pittsburgh, Grand Rapids, and St. Louis, where prices rose 5-5.5% year-over-year and sit 20-30% below national medians.
Outlook for 2026 Housing Trends
Median listing prices dipped 0.4% from November 2024 but remain 36% above pre-pandemic levels. New listings grew by only 1.7% year over year. Realtor.com chief economist Danielle Hale predicts gradual improvement with lower mortgage rates and a steadier supply, helping balance the market. High delisting signal caution for sellers delisting homes at new high, but refuge markets offer buyer opportunities in the stalled US housing recovery.
– CNBC
Image Credit – realtor.com
