Discovering Hidden Gems: Why Lingering Listings Could Be Your Best Opportunity

Open up a home search, and you'll see them. Listings that have been on the market for two months. Three. Some even longer.

Most buyers scroll right past these homes, assuming something’s wrong with them. But that instinct could be costing you. The longer a home sits, the more motivated the seller usually becomes.

Where Some Buyers Are Finding Better Deals

If affordability has been your biggest hurdle to buying, here’s a surprisingly simple strategy that could help you get your foot in the door. Start with the homes that have been sitting the longest. That’s often where the best deals are.

Here’s why: Data from Realtor.com *shows a connection between longer time on the market and lower sales prices. Basically, the longer a house sits, the more likely it is that the seller will reduce the price (see graph below):

The blue line tracks how long homes stay on the market, while the green line tracks the share of homes getting a price reduction. As one climbs, so does the other.

If you focus on these homes that are just sitting and waiting, the opportunity for you is bigger than you might think right now.

Redfin data shows there’s $347 billion worth of stale listings on the market right now—more than ever before for this time of year. So, ask your agent to filter listings for you from oldest to newest. The home that fits your budget might already be there, just further down the list than you thought.

Lingering Doesn’t Always Mean Something’s Wrong

Let’s say you do that, and something catches your eye. Still, you might question why the home has been sitting in the first place. Just remember, sometimes it has nothing to do with the home itself.

According to Redfin, common causes are:

• The asking price was set too high to start.

• The home didn’t show well online.

• There are a lot of homes for sale in the area, so it just got buried.

  
  

So, nothing that’s necessarily a dealbreaker, or even anything wrong with the home itself. If there’s a real issue, a thorough inspection will surface it. That’s information you can use to negotiate—not a reason to assume it’s a house worth skipping over.

How To Turn a Lingering Listing into a Win

So, how do you capitalize on a lingering listing? According to USA Today, you have two main levers to pull.

The first is price. Work with your agent to study what comparable homes recently sold for, then build an offer around that. Coming in below asking price is fair game when a home has been sitting.

The second is concessions. If a seller won’t budge much on price, they may still help in other ways, like covering some closing costs, repair credits, or even a mortgage rate buydown that lowers your monthly payment.

A local agent has the context to tell which homes are the real opportunities and which are skippable.

The Importance of Patience in Home Buying

When searching for a home, patience is key. It’s easy to feel rushed, especially in a competitive market. However, taking your time can lead to better decisions. Lingering listings often provide a chance to negotiate and find a home that truly fits your needs.

Understanding Market Trends

Staying informed about market trends can give you an edge. Knowing when homes are more likely to linger can help you time your offers. For instance, homes may sit longer during certain seasons or economic conditions. Understanding these patterns can empower you to make strategic choices.

Building a Strong Relationship with Your Agent

Your agent is your ally in this journey. A good agent will not only help you find listings but also provide insights into the market. They can help you navigate the complexities of buying a home, especially when considering lingering listings. Building a strong relationship with your agent can make the process smoother and more enjoyable.

Bottom Line

A house sitting on the market isn’t always a glaring red flag. In today’s market, it may be your best opportunity yet.

For help deciding which lingering listings are actually worth a second look, let’s connect.