# Eight U.S. cities tipping toward buyer's markets

> Atlanta, Denver, San Antonio and five other metros are shifting in buyers' favor, but higher mortgage rates limit what they can actually afford.
- Title: Eight U.S. cities tipping toward buyer's markets · Fastcompany
- Summary: Atlanta, Denver, San Antonio and five other metros are shifting in buyers' favor, but higher mortgage rates limit what they can actually afford. Eight major…
- Keywords: housing market, buyer's market, atlanta, denver, san antonio, mortgage rates, housing affordability, realtor.com, Eight, cities, tipping, toward
- Source: Fastcompany — https://fastcompany.com/91626069/these-8-u-s-cities-could-soon-become-buyers-markets-heres-where-house-hunters-may-have-more-leverage
- Read time: 2 min
- Topics: housing market, buyer's market, atlanta, denver, san antonio, mortgage rates, housing affordability, realtor.com
## Buyers gaining ground nationally
About two-thirds of major metro areas currently favor buyers or are moving in that direction, according to a Realtor.com report released Monday.
## Mortgage rates climbing fast
The thirty-year mortgage rate is currently seven point four percent and has been steadily climbing in recent weeks as it approaches the highest level in nearly three years.
## Affordability remains a top concern
Danielle Hale, chief economist at the Austin-based Realtor.com, said affordability is likely to continue as a top concern for shoppers, especially as mortgage rates above seven percent limit how much home a fixed budget can…

> Affordability is likely to continue as a top concern for shoppers, especially as mortgage rates above 7% limit how much home a fixed budget can buy.
## Eight cities approaching tipping point
Atlanta, Augusta, Charleston, Chattanooga, Denver, Jacksonville, Memphis and San Antonio could soon tip into buyer's-market territory.
## Leverage doesn't mean affordability
Even if buyers have more room to negotiate in these eight cities, that doesn't necessarily translate to a more affordable purchase, according to Jake Crimmel, senior economist at Realtor.com.
## Rates and budgets move opposite ways
As rates rise, the same monthly budget supports a lower home price. Market leverage and purchasing power are moving in opposite directions right now, Crimmel said.

> As rates rise, the same monthly budget supports a lower home price. Market leverage and purchasing power are moving in opposite directions right now.
## Buyer's markets growing nationally
Among the ninety-nine largest metro areas, seventeen are currently deemed a buyer's market, up from thirteen this time last year, according to Realtor.com's quarterly Market Clock analysis.
## Seller's markets declining sharply
Twenty-seven metro areas are currently deemed seller's markets, down from thirty-nine. Each metro area is positioned on one of twelve clock positions indicating whether buyers or sellers have the negotiating advantage.
## Regional split favors the South
The Midwest maintains the most solid seller-friendly dynamics, while the South is leaning more in favor of buyers. This represents a sharp regional split, not a single national pattern.

> That is a sharp regional split, not a single national pattern.
## Key takeaway

Eight major U.S. cities are approaching buyer's markets as housing conditions shift nationally, but rising mortgage rates above seven percent reduce purchasing power despite improved negotiating leverage.