Some San Antonio homes could sell at a loss
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Roughly 10% of San Antonio area home listings were at risk of selling at a loss in May, the fifth-highest share among the country's 50 largest metros, per Redfin.
The big picture: There are a lot more sellers than buyers in the U.S. real estate market, according to Redfin.
- A small but growing share of sellers nationwide could potentially sell their homes for less than they paid for them.
Zoom out: Nearly 6% of U.S. homes for sale risked selling at a loss in May, up from around 4% a year earlier, though still historically low, per Redfin.
Between the lines: Homes purchased after July 2022, as prices soared to new highs, are more likely to sell at a loss than those bought during or before the pandemic.
What they're saying: With prices now softening, "sellers are in a position where they may need to choose between accepting a lower price, or taking the home off the market," Redfin senior economist Asad Khan said in the report.
Reality check: There's a difference between taking a loss and being "underwater," or owing more money to your lender than the house is worth.
- Nearly all sellers have enough equity in their homes to sell them for more than they owe, per Redfin.
What we're watching: If home prices fall by 1% — as Redfin has predicted will happen by the end of 2025 — the overall share of homes at risk of selling at a loss would rise to 11.9% in San Antonio.