Question of the Week: Making an Offer in a Buyer's Market

Every week I answer a real question from a buyer or seller here in the Hill Country, and this one comes up a lot lately: "With all this inventory, how should I make an offer in a buyer's market?" It is a great question, because the answer is not quite the same as it was a few years ago.

What Does a Buyer's Market Mean for Your Offer?

First, a quick picture of where things stand. Canyon Lake ranked No. 7 on a 2026 list of America's strongest buyer's markets. In the 78133 ZIP code, there is about 14.6 months of housing supply against a 5.1-month national average, which is nearly three times the supply. The median list price sits around $460,000 as of July 2026, and homes are averaging around 115 days on the market. Put simply: there are more homes than buyers right now, and that flips the leverage to your side.

In plain terms, a buyer's market means you have more choices, more time, and more room to negotiate both price and terms. Fewer bidding wars, less pressure to waive contingencies, and more willingness from sellers to make a deal work. That is a comfortable place to be, as long as you still move with a clear plan.

How Much Should You Offer?

Start with real data, not emotion. Look at comparable sold homes in the neighborhood, factor in condition, lot, and features, and let your agent pull the recent sales that matter. In a buyer's market, an offer at or slightly below list is often reasonable, especially when the home has been sitting for a while. But a well-priced home that just hit the market can still draw interest, so I always price my offers off the comps, not off the asking price.

What Terms Should You Negotiate?

Price is only part of the conversation. In a market with 14.6 months of supply, sellers are often open to terms that make your purchase easier: asking for closing cost assistance, a flexible closing date, an inspection period you are comfortable with, or repairs after the inspection. You can also negotiate appliances, furniture, or a longer rate lock. The key is to ask for what matters to you and keep the deal fair on both sides.

Why Get Pre-Approved Before You Offer?

A solid pre-approval is your strongest tool in any market, and it matters just as much here. It tells the seller you are financially ready and it lets you move quickly when the right home appears. With a mortgage background, I help buyers understand exactly what their financing supports so there are no surprises at the appraisal or closing table. If you have questions about your numbers, we sort that out before you ever write an offer.

Should You Still Do Inspections and Contingencies?

Yes, absolutely. This is where a buyer's market is your friend. With less competition, you rarely have to waive an inspection to win. Use the time to get a thorough home inspection and, for Hill Country and lake-area properties, pay attention to the details that really matter: well and septic, flood zones, HOA rules, water access, and any restrictions near the lake. On Canyon Lake, for example, private docks are not permitted because the lake is managed by the Army Corps of Engineers, so buyers rely on community boat ramps and park access. Understanding the real access situation before you offer can save you a lot of heartache later.

“A buyer's market rewards preparation. Do your homework, get pre-approved, and make a fair, clean offer on the home you love, and you will often get better terms than you expected.”

Why Act Quickly on a Well-Priced Home?

Here is the nuance: a buyer's market does not mean every home sits. Even with homes averaging around 115 days on the market, a well-priced, well-presented home in a desirable spot can still get attention fast. When you find that home, be ready. Have your pre-approval in hand, know your must-haves, and be willing to write a clean offer with a reasonable timeline. Hesitation is the one thing that can cost you a good deal, even when inventory is high.

What Should You Watch For in a Lake-Area Purchase?

Around Canyon Lake, value is about more than square footage. Look at water access and views, water levels, flood zones, septic and well conditions, HOA rules, and resale potential. In a market with nearly triple the national supply, you have the luxury of comparing several properties side by side. Take advantage of that time, and lean on an agent who knows exactly what to look for before you commit.

Have a real estate question of your own? Ask Steve anytime at the Ask Steve page below, and I will do my best to answer it in a future Question of the Week. No question is too small, and Steve is available 24/7 for the questions that cannot wait.