The summer housing market looks pretty normal right now, and that’s a good thing.
The latest report from Realtor.com shows that the July housing market behaved mostly as expected, with signs of a seasonal home sales slowdown as buyers and sellers navigate the summer months. It’s too early to tell if this summer will dodge a repeat of some of the more troubling trends from a year ago that could mean another frustrating phase around the corner for people looking to buy a home.
“July’s data show a market that is cooling seasonally, not coming apart,” Realtor.com Chief Economist Danielle Hale said. “Sellers are making more price adjustments as summer progresses, and buyers are responding more selectively, but homes are still going under contract at a faster pace than last year.” If lowered prices keep buyers interested, that’s a good sign that the market is staying healthy and dynamic through the hottest months.
In July, the national median home listing was priced at $428,950, roughly the same as June but a 2.4% dip from last year and the ninth straight month of declining prices year-over-year. In July, one fifth of listings experienced a price reduction, a less than one percentage point decline from July 2025. Pending sales were up 1.3% compared to the same time last year, marking eight straight months of growth.
The national median listing was active for 57 days in July, up four days from a month prior but roughly the same as a year ago, when homes sat around for a day longer. That pace matches with historical norms that pre-date the pandemic and its dramatic shifts in real estate trends.
Like all things in real estate, regional trends reveal different stories. In the Northeast’s tough market, price cuts in July were almost half as common as they were nationally at 13.7%. In the Midwest, 18.7% of listings saw their prices slashed, compared to 21.9% in the West and 21.3% in the South. The Hartford, Buffalo, and New York metro areas featured the fewest price cuts, while Portland, Denver, and Dallas saw the most cuts during the month.
Some aspects of the summer slowdown are expected, but inventory growth remains well beneath pre-pandemic levels with the number of listings still 11.6% below what was normal from 2017 to 2019. “The summer test is whether sellers and buyers stay aligned as activity slows,” Realtor.com Chief Economist Jake Krimmel said. “In July, homes are not sitting longer than they did a year ago and pending sales are still positive, which argues for a normal seasonal cooldown.”
Still, there are warning signs to watch out for as the market moves into August. If price cuts pick up, pending sales drop off, and home sellers pull their listings, that could mean more trouble on the horizon as the housing market tries to reach some semblance of a new normal.