WACO, Texas (KXXV) — The housing market is in favor of buyers, with new analysis showing nearly two-thirds of U.S. home buyers purchased homes below the original listing price in 2025 — the highest percentage since 2019.
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Local realtor Cameron Gomez, who has worked in the Waco metro area for several years, said rising interest rates have created more opportunities for buyers.
"Rates have escalated, which has caused inventory to go up. Houses are sitting on the market a lot longer than they were doing four to five years ago," Gomez said.
The increased inventory means homes are staying on the market for extended periods, often 90 days or more, giving buyers more negotiating power.
"Buyers have more options to choose from whenever they are looking at houses and it can contribute to sellers having to wait just a little bit longer," Gomez said.
Andre Richardson, one of Gomez's clients, experienced this buyer-friendly market firsthand when the price dropped on the home he's under contract to purchase, allowing him to spend less than expected.
In Waco specifically, Zillow data shows almost 12% of homes sold above list price in 2025, while nearly 74% of sales were below the original listing price.
"We've noticed some price drops anywhere from 5-10% of the original list price was whenever it first hit the market. It's just part of what sellers are doing to be a little bit more competitive so they can get that home sold quickly," Gomez said.
Home values are also declining in the Waco area. The typical home value is now slightly more than $188,000, representing a 3% drop from 2024, according to Zillow.
For prospective buyers in 2026, Gomez recommends taking advantage of the current market conditions.
"Ask for those concessions and do what you need to do because there are things you can't control like rates, but there is other factors that we can negotiate," Gomez said.
A Redfin survey indicates the most buyer-friendly markets are concentrated in the southern U.S., including Texas and Florida.
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