More listings. Not a free-for-all. Strategy wins.
The Sacramento region is adding inventory this season, but leverage is not one size fits all. Some properties and some sellers are still commanding strong terms. Others are softening. The key is reading the signals and tailoring the plan.
Charts referenced are from SacramentoAppraisalBlog.com and North State BIA. Data covers Sacramento, Placer, Yolo, and El Dorado unless noted.
Quick take
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Active listings ended August at 4,600. That is higher than 2024 and 2023.
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Many sales still involve negotiation, yet not all. In August, about half of Sacramento County closings reported a seller concession, while Placer was closer to one third.
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Price behavior is mixed. In August 2025, 64.4% of closings were below the original list for the region, yet about 24% closed above list. Fresh, well priced homes still draw strong interest.
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Listing cancellations rose to 3,680 year to date. That points to a gap between seller expectations and the market, not a guarantee of deep discounts for buyers.
What more inventory really means
More homes on the market gives buyers choice and time. It does not guarantee steep concessions. Motivation varies. Some owners have room to negotiate. Others prefer to wait rather than miss a net target. That is a big reason cancellations are up.
How leverage shifts by signal
Use these tells to gauge who holds the cards on a specific property:
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Days on market
Fresh listings that show good activity often sell near list or better. Listings that pass the first two weekends without strong traffic are more open to terms. -
Price changes before pending
Recent data shows about 54% of pendings had no reduction, about 40% went pending after a price cut, and a small share increased price. If there was no reduction and activity is steady, expect firmer negotiations. -
Condition and presentation
Turnkey homes in popular pockets can still see multiple offers. Homes that need work or have functional quirks tend to trade with credits or buydowns. -
Seller timeline and finances
Some sellers must move and will trade price for speed or certainty. Others are equity rich and patient. Your plan should match their motivation.
County snapshots
Sacramento County
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Median price nearly flat year over year for August.
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Months of supply around 2.5, up from last year.
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Days on market lengthened from the prior year.
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About half of closings reported concessions.
Read: Buyers have more room in parts of the market, yet not across the board. Sellers who price to the market still succeed without heavy givebacks.
Placer County
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Median price roughly unchanged in August with average price up slightly.
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Months of supply rose.
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Concessions reported in about one third of sales.
Read: Well priced listings still move. Negotiation exists, but leverage is balanced and depends on the city and price point.
New construction notes
Rancho Cordova and Roseville led August 2025 new-build volume. Builders continue to use incentives such as rate buydowns and closing credits. These can be valuable, but compare the total monthly payment and the long term cost to a resale with a smaller credit.
Why cancellations are rising
Cancellations reflect a mismatch more than a market crash. Some owners aim for 2021 style outcomes. Buyers today are payment sensitive and selective. When expectations do not meet, listings come off the market. The lesson is not to overpromise on buyer leverage. The lesson is to price and negotiate with the facts on a specific property.
Guidance that works right now
For buyers
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Target homes with longer days on market or recent price cuts for credits or rate buydowns.
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For fresh, well presented listings in hot pockets, write clean terms and focus on value rather than chasing a large credit that may not land.
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Ask for concessions when the signals line up. Do not assume they are automatic.
For sellers
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Price to today, not to last year. The first two weekends set your path.
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Decide in advance how you will handle credits, repairs, or buydowns. Build a range that keeps your net goal in reach.
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Improve presentation. Clean, repaired, and move-in ready wins time and terms.
Bottom line
Sacramento is a market of micro-markets right now. Inventory is higher, but leverage is situational. Some deals close with healthy credits. Others close near list with tight terms. The winning approach is to read the signals, match the strategy, and negotiate the deal in front of you.
Thinking about making a move? Let’s talk about how these trends affect your neighborhood and your goals.
