Is the American dream of homeownership finally within reach, or is this just another mirage in a distorted market?
According to Realtor.com, the U.S. housing market is tilting toward buyers with a notable surge in inventory, up 24.8% year-over-year in July 2025, giving home shoppers more options but still wrestling with stubborn affordability hurdles.
This slow rebalancing act isn’t just a national trend. Certain states are seeing dramatic spikes in available homes, reshaping local markets.
Nevada leads the pack with a staggering 52.9% jump in active listings, climbing from 8,563 in July 2024 to 13,097 in July 2025. The median list price there hovers at $499,450.
Maryland isn’t far behind, posting a 48.2% increase in listings, from 9,446 to 13,995 over the same period. Its median price stands at $450,000.
North Carolina rounds out the top three with a 40.7% surge, as listings grew from 30,253 to 42,574, with a median price of $424,950. These states are ground zero for a shifting market dynamic.
California’s listings spiked by 36.5%, rising from 57,148 to 77,994, though its median price of $750,000 keeps affordability a distant dream. Arizona and Colorado also saw jumps of 36.3% and 36.0%, with median prices of $487,450 and $599,000, respectively.
South Dakota, Virginia, Washington, and New Mexico aren’t slouches either, with inventory growth ranging from 30.9% to 36.0%. Median prices in these states span from $389,900 in South Dakota to $659,475 in Washington. This flood of homes signals a market begging for buyer attention.
Nationally, July 2025 marked the 21st straight month of inventory growth, hitting a post-pandemic high. Yet, we’re still 13.4% below pre-pandemic levels, a reminder of how far the market was stretched.
What’s driving this? Analysts point to cooling buyer demand and shifting economic winds. “Nevada has seen a strong uptick in investor seller activity recently,” notes Hannah Jones, senior economic research analyst for Realtor.com®.
Homes are also sitting longer on the market, with the national median time up by a full week compared to last year. This lag exceeds pre-pandemic norms for the first time since 2020.
Jones adds insight on other states: “North Carolina saw surging popularity during the pandemic, and is returning to some balance.” She also notes Maryland’s recent inventory climb as demand softens.
Despite more choices, affordability remains a brick wall for many. Since June 2019, typical list prices nationwide have soared by 37.6%, with price per square foot up a whopping 52.3%.
For investors and savers, this market offers a rare window—more inventory could mean negotiating power, but only if rates and prices ease. Jones cautions, “Lower home prices and mortgage rates will be important to bring buyers back.” Until then, frugality and patience are your best tools in this lopsided market.