At a time of year when the real estate market typically experiences seasonal declines, this fall is bringing just the opposite.

Homebuyers are getting a window of opportunity unusual for this time of year thanks to falling mortgage rates and rising inventory, according to Zillow’s latest market report. 

And with homes becoming more affordable for homebuyers, the competition to secure them is expected to continue into the fall rather than diminishing as it usually does this time of year. 

Zillow Chief Economist Skylar Olsen said late summer may be an opportunity for buyers who have been waiting in the wings for a monthly mortgage payment they can afford.

“Buyers have more options to choose from for two reasons,” Olsen said. “For one, it’s easier to qualify for more of the homes on the market now that mortgage rates are a bit lower. Beyond that, more inventory is becoming available — enough to improve buyer negotiating power. Attractive properties in hot markets are still selling quickly, but some metros — or neighborhoods within them — have flipped further in favor of buyers.”

Falling mortgage rates are favoring this season’s buyers as the declines have made buying a home affordable again at the national level, according to the report, which found the monthly payment on a typical home purchase fell more than $100 from its May peak. 

It’s not just lowered mortgage rates propelling the market into buyer’s favor. Zillow said its market heat index in July shifted from favoring sellers into neutral territory, marking the first time in two years that sellers didn’t have the edge.

That’s not the case for Chicago’s market, however, which the heat index found still favors sellers.

In August, the Zillow home value index for Chicago was $325,651, with a typical mortgage payment of $1,640, marking a 3.2% decrease from July. Homes sold within an average of 12 days, 26% of listings saw a price reduction, and inventory decreased by 50.6% since the pandemic.

Nationally, homes are taking longer to sell, but are still moving faster than before the pandemic. August homes sold in an average of 20 days, which is two more days than in July. Inventory is also up, with nearly 1.18 million homes on the market, more than any month since September 2020.

That’s not all. Sellers are cutting prices. In August, more than one in four listings had a price cut, and while not a record, it is high for this time of year.