San Antonio's Housing Market is Shifting: What Homebuyers Need to Know

For years, the housing market has been firmly in favor of sellers, with low inventory and skyrocketing home prices making it tough for buyers to find affordable options. But as we enter 2025, a shift is happening—especially in markets like San Antonio.

Recent data shows that 41 metro areas across the U.S. now have active inventory levels at or above their pre-pandemic numbers from 2019, signaling a change that gives homebuyers more leverage. In San Antonio, housing inventory has increased by 33.1% since 2019, making it one of the key markets where buyers have more options and negotiating power than they did in the past few years.

Why Is San Antonio’s Housing Inventory Increasing?

During the pandemic housing boom (2020-2022), homebuyer demand surged, and inventory plummeted as buyers quickly snatched up available properties. However, as mortgage rates climbed and affordability became more strained, buyer demand slowed, leading to a rise in active listings.

San Antonio, like many other Sun Belt cities, also saw a wave of new construction during the pandemic years. Builders responded to demand by ramping up projects, but as buyer activity slowed, these newly built homes added to the rising inventory. This trend, combined with the slowdown in migration-driven buying, has led to a much-needed shift in the market—one that favors buyers.

How This Shift Impacts Homebuyers

For those looking to purchase a home in San Antonio, the increased inventory presents several advantages:

✔ More Choices – With a greater number of homes on the market, buyers aren’t as pressured to rush into a deal. There’s more room to compare properties, neighborhoods, and amenities.

✔ Negotiation Power – In recent years, bidding wars and over-asking-price offers were the norm. Now, with inventory back up, buyers can negotiate more confidently on price, repairs, and seller concessions.

✔ Less Competition – As affordability concerns keep some buyers on the sidelines, those still in the market may find fewer multiple-offer situations and a better chance of securing their dream home.

✔ New Construction Deals – Builders in San Antonio, facing the pressure of rising inventory, are more willing to offer incentives, lower prices, or provide mortgage rate buy-downs to attract buyers. This can make new construction an appealing option for those looking for affordability and modern features.

How San Antonio Compares to Other Markets

Nationally, housing inventory is still 25% below 2019 levels, meaning that San Antonio's 33.1% increase stands out as a strong sign of shifting market conditions. Other areas seeing a similar trend include Austin, TX, Punta Gorda, FL, and various Gulf Coast and Mountain West cities—regions that experienced some of the biggest home price surges during the pandemic.

Meanwhile, the Midwest and Northeast markets remain tighter, with limited new construction and less exposure to pandemic migration, keeping inventory low and home prices more stable.

What’s Next for San Antonio’s Housing Market?

While it’s still too early to call San Antonio a full-fledged buyer’s market, the numbers show that it’s becoming more balanced. If you’re considering buying a home, now could be a great time to take advantage of increased inventory and more favorable conditions.

Sellers, on the other hand, may need to adjust expectations. Overpricing a home could lead to longer days on market, and strategic pricing will be key to attracting buyers in this shifting landscape.

Final Thoughts

San Antonio’s housing inventory surge is a major development for both buyers and sellers. If you’re in the market to buy, this could be your opportunity to find a home without the intense competition of the past few years. And if you’re selling, working with a knowledgeable realtor who understands the evolving market dynamics will be crucial to securing a solid deal.

No matter where you stand in the market, staying informed is key. As San Antonio’s real estate landscape continues to shift, being prepared will help you make the best decisions for your future.

Kristen Smith, Realtor Best realtor in San Antonio