Pondering over whether the current moment warrants a push for price decrease?

In the current real estate market, buyers in Texas and Florida may find themselves in a more advantageous position, with sellers increasingly open to negotiations due to various factors.

In a slowing market with declining buyer demand, as seen in many Sun Belt markets including parts of Texas and Florida, sellers face increased buyer leverage, making them more inclined to reduce prices to attract offers. Rising inventory creates more competition among sellers, and in areas like Dallas-Fort Worth, sellers often feel pressure to lower prices to stand out.

Lower mortgage rates can stimulate demand, but elevated rates over recent years have suppressed it, causing some sellers to hold firm. However, as mortgage rates have recently dropped slightly (e.g., rates fell to about 6.4% in mid-2025), sellers might be more willing to negotiate to capitalize on returning buyer interest.

Regional economic factors also play a significant role. Job market strength and population growth support demand but can moderate price declines. Both Texas and Florida have strong job markets but also face affordability challenges due to higher property taxes (notably in Florida) and insurance costs, impacting seller flexibility.

Seller motivation is another crucial factor. Sellers who need to move quickly due to personal circumstances or those facing financial pressures may be more willing to accept a price reduction.

When wages outpace home price growth, buyers gain negotiating power. As of mid-2025, wage growth slightly outpacing home price growth in some regions means buyers can negotiate more successfully, increasing the chance sellers reduce prices.

After about a month on the market, a seller might start to panic, according to Philippa Main, an agent at Samson Properties and Future Home Realty. Once a property has been on the market for 14 days, the sellers might be getting "itchy," according to Scott Bergmann, broker-owner at Realty One Group Authentic in Omaha, Nebraska. A long time a property has been on the market can indicate that the seller might be ready to bargain.

However, sellers may be stubborn and not eager to make meaningful price reductions or accept lower offers due to the mortgage lock-in effect. The current market is a buyer's market, as there are more homes for sale than buyers.

Buyers should choose one or two important requests and not beat the seller up on multiple fronts. Simple requests that were previously foregone, such as asking for concessions on closing costs or mortgage rate buydowns, can now be considered.

The practice of contingencies for home inspections and appraisals is common again in the current market. Shopping for a home, buyers no longer need to make immediate offers, offer above the asking price, or waive the home inspection.

In some U.S. metro areas, home prices declined during the second quarter of 2025, with examples like Sarasota-Bradenton and Punta Gorda in Florida seeing a 12 percent drop over the past year. Sales of existing homes decreased by 2.7 percent in June 2022 compared to the prior June, according to the National Association of Realtors (NAR). The pace of home price growth has slowed, with a 2.3 percent increase in May 2022 compared to the previous year, according to the Case-Shiller Index.

In contrast, sellers in some markets, such as the New York City metro area and Chicagoland, continue to enjoy strong appreciation, with prices rising more than 7 percent and 6 percent year-over-year, respectively.

In summary, in Texas and Florida’s cooling markets, sellers are more likely to agree to price reductions when buyer demand decreases, inventory increases, mortgage rates moderate affordability, and economic pressures favor buyers. However, motivated sellers and local market quirks can also heavily influence negotiations.