If affordability has been the biggest thing standing between you and a home, there’s a little good news —

Asking prices have started to come down.

The typical seller listed their house for a median of $429,500 in May. That’s 2.4% lower than a year ago, according to Realtor.com. On its own, that won’t completely transform affordability, but in today’s market every little bit helps, and it signals a broader shift taking place.

Buyers Are Finally Catching a Break

Data from Realtor.com shows this is the first May in years where buyers have caught any real break when it comes to pricing.

From 2022 through 2025, prices stayed relatively steady. But this year, there’s finally been a more noticeable shift in buyers’ favor. While the dip from $440,000 to $429,500 may not seem huge, it creates a little more breathing room — and that matters when affordability has been stretched this far.

Each May from 2022-2025, things held pretty steady. But this year? You can see that more noticeable shift in your favor

(see graph below):

Lower asking prices don’t mean every home is suddenly affordable, but they do show buyers are finally gaining some ground. And in today’s market, even small gains can go a long way.

What That Means for the Housing Market

This shift is not bad news for the housing market — it’s actually a sign that things are starting to rebalance.

The slight dip in asking prices shows sellers are adjusting as inventory grows and buyers gain more options. Sellers can no longer simply name any price and expect immediate offers. Homes now need to be priced closer to actual market value from the beginning.

As the New York Post explained:

“Rather than swinging for the fences with pandemic-era price tags, sellers are increasingly coming to terms with a new reality.”

The article also noted that fewer listings needed price cuts in May because sellers are doing more homework upfront instead of overpricing and reducing later.

This points to a healthier and more balanced market overall.

Seller expectations have remained elevated since the pandemic buying frenzy, but today’s market is beginning to normalize. Buyers may experience fewer overpriced listings, less bidding pressure, and a more realistic negotiation process.

Bottom Line

If affordability has been your biggest concern, the recent dip in asking prices may be an opportunity worth paying attention to.

Connecting with a local real estate professional can help you better understand what these market shifts look like in your area and where buyers may have the strongest advantage right now.