LA Sellers Outnumber Buyers By 62%

California's housing market is tilting further toward buyers as summer winds down. Nearly every major metro in the state now has more sellers competing than buyers shopping, with Riverside and Los Angeles showing the widest gaps; San Francisco stands out as the lone exception. Mortgage rates near 6.7% continue to keep demand thin, though the first weekly decline in six weeks and a rebound in loan applications suggest buyers are still watching for an opening. New listings are climbing, sellers are negotiating, and flippers are holding inventory longer. For investors and agents with patience and capital, negotiating leverage hasn't looked this favorable in years.

In The News:

Redfin — The Number of U.S. Homebuyers Just Dropped to a Record Low, Shifting the Market Further in Buyers’ Favor (August 13, 2026) — An estimated 966,752 buyers were in the market in July, the lowest on record and down 2.5% from June, against roughly 1.46 million sellers — a 51.3% surplus. California metros tilted sharply: Riverside had 68.5% more sellers than buyers and Los Angeles 61.7%, with Anaheim, Sacramento and San Diego also in buyer's-market territory. San Francisco remained roughly balanced.

Freddie Mac — Mortgage Rates Average 6.67% (August 13, 2026) — The 30-year fixed-rate mortgage averaged 6.67%, down from 6.69% a week earlier and the first decline in six weeks, while the 15-year fell to 5.96% from 6.01%. Rates remain above the 6.58% average of a year ago. Chief economist Sam Khater noted that recent increases in purchase and refinance applications show borrowers still respond to even modest rate movements.

Mortgage Bankers Association — Mortgage Applications Increase in Latest MBA Weekly Survey (August 12, 2026) — Total mortgage application volume rose 3.6% for the week ending August 7, with purchase applications up 3% and refinances up 5% as rates eased from their one-year high. Refinance activity still trails last year by 22%, and the refinance share climbed to 40.7% of applications. The rebound suggests demand is rate-sensitive rather than absent.

Scotsman Guide — Longer holds, weaker pricing hurt home flipper sales in second quarter (August 10, 2026) — The Fix and Flip Market Index from Kiavi and John Burns Research and Consulting slipped to 59 in the second quarter from 63 in the first, as roughly 60% of flippers reported longer days on market. About one in five sold mostly below after-repair value, up from 17%. New loan activity still hit a two-year high, with 59% of flippers taking on financing.

Redfin — U.S. Pending Home Sales, New Listings Show Flickers of Life to Start August (August 13, 2026) — Pending sales edged up 0.4% week over week during the four weeks ending August 9, while new listings rose 1.7%, the largest weekly gain in five months. The median sale price reached $403,706, up 2.2% year over year, with 3.7 months of supply. Agents report that list prices are increasingly a starting point for negotiation rather than a floor.