What to do if your home doesn’t sell

Written by Samantha SheltonNMLS 1647301Updated October 2026

This article is general information about selling strategy, not legal or tax advice. Listing contracts, disclosure duties and tax treatment depend on your situation. Consult a Michigan real estate attorney and a qualified tax professional.

Diagnose before you discount. Nationally, unsold inventory sat at a 4.6-month supply in July 2026 and the median existing home sold for $434,100, up 2.0% year over year, per the National Association of REALTORS®, a roughly balanced market, not a frozen one. A home that isn’t moving in that market has a findable problem.

Learn how to read the showing-to-offer funnel, when to cut and by how much, whether relisting resets your days on market, and what changing agents or renting it out costs. Haven’t listed yet? Start with the Selling a Home guide.

Key takeaways:

• Read the funnel before you cut the price: views, showings and offers point at three different problems, and with national inventory at a 4.6-month supply in July 2026, the market rarely explains a listing that has sat 60 days.
• Photos are the showing: 52% of buyers found the home they purchased on the internet and 81% of internet-using buyers rated listing photos “very useful” in NAR’s survey of people who bought between July 2024 and June 2025.
• A concession has a ceiling; a price cut does not: conventional interested-party contributions cap at 3%, 6% or 9% of value by loan-to-value, FHA and USDA at 6% of the sales price and VA at 4% of reasonable value, so a credit can only ever reach the buyer already in front of you.

Why isn’t your home selling? Diagnose the funnel first

Pull three numbers before you change anything: online views, showings booked, and written offers. Each drop-off points at a different defect, and treating the wrong one costs weeks.

Read showing feedback for repetition, not politeness: six buyers mentioning the basement smell is a work order. Then check whether the market moved under you. If months of supply at your price point has climbed since you listed, you are not selling to the buyers you priced for. See common seller mistakes to avoid, selling in a buyer’s market, what a buyer’s market is, and the FHFA House Price Index for your region’s price direction.

What do the latest national and Midwest sales numbers show?

Your listing has more competition than it would have had a year ago. In NAR’s Existing-Home Sales report for September 2026, released October 13, 2026, the country had a 4.8-month supply of homes for sale (1.60 million listings), up from 4.5 months in September 2025. Sales slowed to a 3.99 million annual pace, 2.2% below a year earlier, and the median existing-home price rose 1.3%, from $412,300 to $417,500. Those September figures are newer than the July figures at the top of this guide: supply has risen since the July reading and the median price has eased from it.

Source: National Association of REALTORS®, Existing-Home Sales, September 2026, released October 13, 2026.

The same report put median time on market at 33 days in September 2026, up from 31 days in August and unchanged from September 2025, according to NAR’s REALTORS® Confidence Index. NAR’s chief economist, Lawrence Yun, said in the release that higher inventory and longer days on market give buyers more negotiating power, and that sellers may need price discounts and other incentives. A listing that has sat well past that 33-day median is the one to run back through the funnel table above.

Is your home priced too high?

Usually yes, and price is the only lever that compensates for every other problem at once. In NAR’s 2026 buyer and seller survey, the typical seller’s home was on the market a median of four weeks and sold for a median of 99% of the final listing price, sellers who net near asking got there by adjusting to the market, not by outlasting it.

Mechanics matter more than the amount. Buyers search in round bands, so a home listed at $329,900 never appears for anyone whose ceiling is $325,000. A cut that clears the band reaches a new pool of buyers; a cut that lands mid-band is invisible.

• Anchor to closed sales, not active listings: Closed sales within a half-mile in the last 90 days are what an appraiser uses, and a low offer is market feedback in dollar form. See pricing for a quick sale, pricing in a competitive market and handling lowball offers.

A seller credit is the usual alternative to cutting, and its cap depends on the buyer’s loan: conventional runs 3%, 6% or 9% of the lower of sales price or appraised value by loan-to-value (2% on investment property), FHA and USDA allow 6% of the sales price,¹ and VA is narrowest at 4% of the reasonable value on the Notice of Value.² No single number fits every buyer, and the cap-by-cap table belongs to seller concessions: what are they. For a stalled listing the relevant point is the asymmetry: a price cut has no ceiling and reaches every buyer, while a credit has a ceiling and only reaches the one buyer already at your table.

On a $325,000 list price, a $10,000 cut trims the buyer’s loan slightly; a $10,000 closing-cost credit removes $10,000 from the cash the buyer must produce at closing, which is the constraint most stalled deals hit.³ See what seller concessions are, how to negotiate them, and our Selling Strategies hub.

Are your photos and marketing reaching the right buyers?

If views are strong and showings are not, the listing loses people before they reach the front door. In NAR’s 2026 survey, 52% of buyers found the home they purchased on the internet, and among internet users 81% rated photos “very useful,” 77% detailed property information, 57% floor plans and 38% virtual tours.

• Declutter before the camera: Professional photography of a cluttered room produces professional photographs of clutter. Start with decluttering, then stage the rooms buyers photograph or hire a professional stager.
• Fix the exterior shot first: It is the thumbnail, and gray March photos still running in July signal a stale listing before a buyer reads a word. See curb appeal and selling with low curb appeal, then add a floor plan and a virtual tour.

Rewrite the copy too, and rewrite it carefully. Federal law makes it unlawful to publish any advertisement about the sale of a dwelling indicating a preference, limitation or discrimination based on race, color, religion, sex, handicap, familial status or national origin, and Michigan’s Elliott-Larsen Civil Rights Act adds characteristics including age, marital status, sexual orientation, and gender identity or expression. Describe the property, never the neighborhood’s demographics and never the buyer you imagine: “walk to the elementary school” describes a location, while “perfect for a young family” describes a buyer, and that is the sentence that creates exposure.

Buyer letters carry the same risk: a letter about a buyer’s family, faith or background surfaces protected characteristics exactly when you are choosing between offers, so decline to accept or read them and decide on terms alone. See how to market your home online.

Is it the condition, or something buyers can’t change?

Showings without offers is a condition signal until proven otherwise, and a pre-listing inspection proves it fastest. It turns vague hesitation into a list with prices attached, on your schedule rather than under a contingency deadline.

Separate what you can fix from what you can only price. A dated kitchen or a dead furnace is repairable, and buyers discount it at more than the repair cost. A busy road, an easement or a broken layout cannot be renovated away. Those get priced, not fixed, and pretending otherwise is how a listing reaches 120 days. They also reappear at valuation.

Selling “as-is,” to a cash buyer, or without an agent does not waive disclosure. The Michigan Seller Disclosure Act requires a good-faith written statement on transfers of not less than one and not more than four residential dwelling units, and federal law separately requires lead-based paint disclosure and a 10-day inspection opportunity on pre-1978 housing. An as-is clause allocates repair responsibility; it does not license concealing a known defect. See what a seller’s disclosure is.

Are new homes competing with your listing?

At some price points they are. Trading Economics reported on September 24, 2026 that sales of new single-family homes ran at a seasonally adjusted annual rate of 684,000 in August 2026, with a median sales price of $393,700. The supply of new houses for sale was 483,000, equal to 8.5 months of supply at that sales pace.

For comparison, existing homes sat at a 4.8-month supply in September 2026, as the National Association of REALTORS® reported in its September existing-home sales release. These are national figures from two different surveys and two different months, so they say nothing about your street. They do tell you where to look: if a subdivision nearby is selling new houses in your price band, buyers touring yours can compare it with a brand-new house at a similar price. Ask your agent for new construction sales in your band alongside the resale comps, and price the condition gap the way the condition section above describes.

Should you change agents, or renegotiate the listing?

Change agents when the marketing is measurably absent, not when the market is slow. The difference is visible in the file: professional photos, a floor plan, syndication everywhere, an open house that happened, written feedback, and a price conversation at week three. If all of that exists, a new agent will not manufacture buyers. Read the listing agreement before you fire anyone.

• Expiration date: Letting the agreement run out is cleaner than fighting over cancellation, and some brokerages release a seller on request anyway. Ask the managing broker, not the agent.
• Protection period: This clause typically entitles the listing brokerage to a commission if the home later sells to a buyer it introduced, within a stated window. Read the length and the named-buyer requirement before relisting elsewhere.

Commission is negotiable and always has been. There is no standard or customary rate, and any figure quoted as “typical” is a negotiating position. Two practice changes effective August 17, 2024 also shape what you sign: offers of buyer-agent compensation cannot be communicated through a multiple listing service, and MLS-participant buyer agents must have a written agreement with their buyer before touring. Compensation can still be negotiated and offered outside the MLS or handled as a concession.

Interview replacements on median days on market, list-to-sale price ratio, and listings closed versus expired, and be most skeptical of the one promising the highest price to win the listing.

Does taking your home off the market reset your days on market?

Sometimes, and it depends on your MLS rather than any national rule. Many multiple listing services track cumulative days on market that follow a property across withdrawal and relisting, and each sets its own minimum off-market interval before a fresh count starts. Get your MLS’s rule in writing before planning around it, and assume the history stays visible either way: public portals retain price-change and status history, and the agents whose buyers already toured remember the house.

• Withdraw only with a work list: New photography, a specific repair, a staging plan, a new price. Withdrawing at 90 days and relisting at 120 unchanged is a delay, not a reset.
• Know the marketing rules first: Under NAR’s Clear Cooperation Policy, a listing broker must submit a listing to the MLS within one business day of publicly marketing it. A policy adopted March 25, 2025 permits delayed marketing exempt listings, where a seller may instruct the agent to delay IDX and syndication with written certification.

Michigan seasonality is a legitimate reason to pause, since winter compresses buyer traffic across most of the state. But if prices are drifting down, waiting is a bet against yourself.

What are your options if you can’t sell right now?

Four, and each buys something different at a different cost.

• Relist with a real change: The only option that addresses the diagnosis. Costs photography, staging or repairs, and a market-based price.
• Withdraw and wait: Works only if you can carry the home and the market is improving. Costs mortgage, taxes, insurance and upkeep with no offsetting income.
• Rent it out: A reasonable bridge when the numbers work, but it makes you a landlord. Costs occupancy terms, a different policy, tax consequences and management.
• Sell to a cash buyer: Fast and certain, at a discount that is the price of speed. Costs net proceeds, typically well below a financed retail sale.

Renting is the option sellers most often underestimate. Check three things before the tax math: your loan, because conventional financing on a primary residence typically carries an occupancy covenant requiring you to occupy within 60 days of closing and keep it as your principal residence for at least one year; your insurance, because a homeowners policy is not a landlord policy; and your Michigan principal residence exemption, because renting changes eligibility for the exemption from local school operating tax.

Then the tax math. The Section 121 exclusion covers up to $250,000 of gain, or $500,000 on a joint return, but you must have owned the home at least 24 months and used it as your residence at least 24 months out of the five years ending on the sale date. Rent it out more than about three years after moving out and you can fail the use test outright, and depreciation claimed while it is a rental is recaptured separately and cannot be excluded.⁴ See using your home for extra income and capital gains tax exemptions.

Lease-to-own deals and Michigan land contracts get proposed here and are routinely confused. They are distinct instruments with distinct forfeiture procedures, and seller financing is federally regulated under the loan originator rules at 12 CFR 1026.36. Take it to a Michigan real estate attorney.

What Michigan tax rules apply while your home sits unsold?

Start with the principal residence exemption. Michigan Treasury’s principal residence exemption page says the exemption removes an owner’s principal residence from the local school operating millage, up to 18 mills, so losing it on a house you have moved out of can raise the bill.

Hypothetical example, not an offer. For example, on a house with a taxable value of $150,000, 18 mills comes to $2,700 a year ($150,000 x 18 / 1,000), the most that losing the exemption could add at that value.

Michigan lets a seller who has moved keep it for a while. According to Treasury’s conditional rescission page, Public Act 96 of 2008 lets an owner keep the exemption on the previous home for up to three years if that property is not occupied, is for sale, is not leased and is not used for any business or commercial purpose. The owner files Form 4640 with the city or township assessor by June 1 (starting with the summer levy) or November 1 (starting with the winter levy) of the first year, then refiles by December 31 each year. Leasing the house ends that eligibility, one more cost to weigh in the rental decision above; our homestead exemption guide covers the filing itself.

Finally, the tax bill your buyer plans around is not yours. Per Michigan Treasury’s guidance on transfers of ownership: in Michigan, a home’s taxable value is capped while one owner holds it. The year after it sells, that cap comes off and taxable value resets to the state equalized value, which is half of the assessor’s estimate of market value, not automatically half of what you paid. That is why a buyer’s tax estimate can come in above the capped bill shown on your listing. The Michigan property tax calculator shows the buyer’s side.

What does waiting cost compared with a price cut?

Every month unsold has a bill attached, and the choice is easier once both sides are in dollars. List what the house costs you to hold: property taxes, insurance, utilities, lawn or snow service, and the interest portion of the mortgage from your monthly statement.

Hypothetical example, not an offer. For example, a seller whose taxes, insurance and utilities total $900 a month spends $2,700 to hold the house three more months and $5,400 over six, before mortgage interest. Set that beside a $10,000 cut on the $325,000 list price used above: if the cut sells the house now and holding at full price takes six more months, the difference shrinks to $4,600, and each month of mortgage interest comes out of that difference too.

A stalled sale also moves the money you were counting on for the next house. Samantha Shelton, Align’s broker owner, puts it this way: “Because having equity and having that money available at the exact moment you need it are two different things.” On buying before you sell, she adds: “That’s why I would much rather have this conversation when somebody says, ‘We’re thinking about moving,’ instead of when they call me and say, ‘We found the house.'” Run your own figures through our seller net sheet calculator, or find every tool on the calculators page.

How does a stalled listing change your financing plan?

It changes your timeline, your net proceeds and possibly your next loan. Align Lending is a mortgage broker, not a listing brokerage: we don’t market your home, but we price the consequences of every option above.

• Rebuild the net sheet at the new price: A cut, a concession and a repair credit hit proceeds differently. Model them with a seller’s net sheet and the finances of selling.
• Recheck your preapproval and price the bridge: A stalled listing may have outrun your preapproval, and you should know what bridge financing costs while you still have options.

FAQ: When your home doesn’t sell

Here are answers to common questions about a listing that hasn’t sold.

Why isn’t my house selling?

In most cases the price sits above what buyers see in comparable homes. High views with low showings usually means the photos or the price bracket are wrong. Steady showings with no offers means condition, layout or price against competing listings. Almost no views means you are priced out of the search bracket entirely. See common seller mistakes to avoid.

How long should I wait before lowering my price?

If you have had few or no showings in the first two to three weeks, that is your signal. A listing draws its strongest attention when it is new, and waiting only accumulates days on market that buyers read as a red flag. One reduction into the next search band beats three small ones. See how to price your home for a quick sale.

Should I take my house off the market and relist later?

Sometimes. Withdrawing can reset the counter depending on your MLS’s rules, and it buys time to repair, restage and reshoot. It only helps if you change something: relisting at the same price with the same photos produces the same result. See how to market your home online.

Can I rent out my house if it doesn’t sell?

Yes, and it can be a reasonable bridge in a slow market. Confirm your mortgage has no owner-occupancy requirement still in force, notify your insurer because a rental needs a landlord policy, and understand the tax consequences, including that renting long enough can cost you the home sale gain exclusion. See using your home for extra income.

How common are cash buyers right now?

Cash buyers made up 27% of existing-home sales in September 2026, down from 30% a year earlier, according to the National Association of REALTORS® September 2026 existing-home sales report. Individual investors and second-home buyers were 20% of sales, up from 15%, and distressed sales were 2%. A cash offer takes the buyer’s loan approval out of the deal; our guide to selling to a cash buyer covers what that is worth.

Can I buy a new house before my current one sells?

Often, but the lender counts the house you still own. On a loan sold to Fannie Mae, Selling Guide section B3-3.8-05, dated September 2, 2026, does not accept a lease on a departing residence; market rent comes from sources such as the appraisal or a comparable rent schedule. The lender counts 75% of that rent against the old home’s full housing payment, and any shortfall goes into your debt-to-income ratio. See home sale contingencies for the other route.

Does lowering my price lower my Michigan transfer tax?

Yes, slightly. The seller is liable for the state tax under MCL 207.523. That tax is $3.75 for each $500 of value or fraction of $500 under MCL 207.525, and the county tax is 55 cents per $500 in a county under 2,000,000 people under MCL 207.504. Hypothetical example, not an offer: a cut from $325,000 to $315,000 removes 20 steps of $500, about $86. Our guide to sellers' closing costs lists the other charges.

Can I sell my house on a land contract in Michigan?

Yes, and disclosure still applies: MCL 565.952 extends the Seller Disclosure Act to installment land contracts and leases with an option to purchase. If the buyer defaults, MCL 600.5728 gives 15 days after a forfeiture notice (form DC 101) to cure, and Michigan Legal Help notes a seller cannot forfeit without a forfeiture clause. After a judgment, MCL 600.5744 delays eviction 90 days if under 50% of the price was paid, or 6 months at 50% or more.

Can I sell my house off-market after it doesn’t sell?

Through an MLS broker, yes, as an office exclusive listing under NAR’s Multiple Listing Options for Sellers policy. The listing is filed with the MLS but not shared with other MLS participants or marketed publicly, and your agent needs your signed disclosure that you are giving up the benefits of public marketing. One-to-one broker conversations do not trigger Clear Cooperation. See buying a pocket listing for the buyer’s view.

The bottom line on what to do if your home doesn’t sell

Diagnose, then act. With national inventory at a 4.6-month supply in July 2026 and the median existing home selling for $434,100, a stalled listing is usually carrying a specific, findable problem rather than a hopeless market. Few views means the price is outside the search band; strong views with no showings means the photos; steady showings with no offers means condition or price against the competition. Price is the fastest lever, and one decisive cut through a band beats three small ones.

If you’re ready to plan around whichever path you choose, talk to Align Lending. We’ll price the bridge loan, the contingent purchase or the rental conversion across our lender network and show you the numbers side by side. Call 248-506-5727 or start online. Take listing-contract, disclosure and land-contract questions to a Michigan real estate attorney, and tax questions to a qualified tax professional.

Footnotes:

1. Align Lending is not acting on behalf of or at the direction of FHA or HUD. FHA interested-party contribution limits, the treatment of inducements to purchase, and the minimum required investment are set by HUD and are subject to change. Return to text.

2. Align Lending works with VA-approved lenders and is not endorsed or sponsored by the Dept. of Veterans Affairs or any government agency. VA seller concession limits, the definition of a concession, and reasonable-value determinations are set by the Department of Veterans Affairs and are subject to change. Return to text.

3. Example figures are hypothetical and for educational purposes only; they do not constitute an advertisement of credit terms or a rate quote under federal or state lending laws. The $325,000 list price and the $10,000 price-reduction and closing-cost-credit illustrations are Align Lending examples shown to contrast how each affects a buyer’s loan amount versus a buyer’s cash to close. They exclude taxes, insurance, mortgage insurance and fees. Actual loan amounts, permitted contributions and terms depend on the buyer’s application, the loan program’s contribution limits, and market conditions. Return to text.

4. This is general information, not tax advice. Eligibility for the home sale gain exclusion, your basis, the effect of a rental period, depreciation recapture, and Michigan principal residence exemption eligibility depend on your individual circumstances and filing status. Consult a qualified tax professional about your situation. Return to text.

Sources: unsold inventory at a 4.6-month supply, total housing inventory of 1.54 million units, median existing-home price of $434,100 (up 2.0% year over year) and existing-home sales at a seasonally adjusted annual rate of 4.06 million, down 1.7% from the prior month, July 2026, National Association of REALTORS® Existing-Home Sales (NAR research and statistics). 52% of buyers found the home they purchased on the internet; 81% of buyers who used the internet rated photos “very useful,” detailed property information 77%, floor plans 57% and virtual tours 38%; a median of four weeks on market; and a median sales price at 99% of the final listing price, National Association of REALTORS®, 2026 Home Buyers and Sellers Generational Trends, based on a survey mailed in July 2025 to buyers who purchased a primary residence between July 2024 and June 2025, 6,103 responses; self-reported survey figures, not measured transaction records. Regional and national house price direction, Federal Housing Finance Agency (FHFA House Price Index). Maximum interested party contributions of 3% for a principal residence or second home above 90% LTV/CLTV, 6% at 75.01% to 90%, and 9% at 75% or less, and 2% for investment property at all CLTV ratios, calculated using the lower of the sales price or appraised value rather than the loan amount, with common and customary seller-paid fees not subject to those limits, Fannie Mae Selling Guide B3-4.1-02, Interested Party Contributions (IPCs). The 6 percent of sales price limit on interested party contributions toward origination fees, other closing costs, prepaid items and discount points, and the exclusion of real estate agent commissions or fees typically paid by the seller under state or local law or custom, U.S. Department of Housing and Urban Development, FHA Single Family Housing Policy Handbook 4000.1. Limitation of seller concessions to no more than 4 percent of the home’s reasonable value as shown on the VA Notice of Value, the definition of a seller concession as anything of value added to the transaction at no additional cost to the buyer, and the treatment of ordinary seller-paid closing costs as a separate category, U.S. Department of Veterans Affairs. Limitation of seller and other interested-party contributions to six percent of the sales price, USDA Rural Development, HB-1-3555 Single Family Housing Guaranteed Loan Program Technical Handbook, Chapter 6. Prohibition on making, printing or publishing any notice, statement or advertisement with respect to the sale or rental of a dwelling that indicates any preference, limitation or discrimination based on race, color, religion, sex, handicap, familial status or national origin, 42 U.S.C. 3604(c). Additional protected characteristics in real estate advertising, including religion, race, color, national origin, age, sex, sexual orientation, gender identity or expression, familial status and marital status, Elliott-Larsen Civil Rights Act, MCL 37.2502. Michigan Seller Disclosure Act requirement of a good-faith written disclosure statement on transfers of not less than 1 and not more than 4 residential dwelling units, MCL 565.951 et seq. Lead hazard pamphlet, disclosure of known lead-based paint and hazards, and the 10-day inspection opportunity for pre-1978 target housing, 42 U.S.C. 4852d. Requirement that a listing broker submit a listing to the MLS within one business day of publicly marketing the property, NAR Clear Cooperation Policy; delayed marketing exempt listings permitting a seller to instruct the listing agent to delay marketing through IDX and syndication with required seller certification, NAR Multiple Listing Options for Sellers, Policy Statement 8.14, adopted March 25, 2025. Prohibition on communicating offers of compensation through an MLS and the requirement that MLS-participant buyer agents have a written agreement with the buyer before touring a home, both effective August 17, 2024, National Association of REALTORS® settlement practice changes. Occupancy within 60 days of executing the security instrument and continued occupancy as a principal residence for at least one year, Fannie Mae/Freddie Mac Uniform Security Instrument. Exclusion of up to $250,000 of gain, or $500,000 on a joint return, with ownership for at least 24 months and use as a residence for at least 24 months of the 5 years ending on the sale date, and the rule that gain equal to section 1250(b)(3) depreciation adjustments allowed or allowable after May 6, 1997 cannot be excluded and must be recaptured, Internal Revenue Service Publication 523, Selling Your Home. Michigan principal residence exemption from local school operating tax and its affidavit and rescission deadlines, Michigan Department of Treasury, MCL 211.7cc and MCL 211.7dd. Loan originator rules applicable to seller financing, with narrow exclusions for individuals financing a limited number of properties, 12 CFR 1026.36.

This article is for informational purposes only and is not intended to provide legal, financial, or tax advice. Market data, loan program requirements, MLS rules, disclosure duties and tax rules change and vary by program, property, and locality; confirm current figures with your loan officer, confirm listing-contract, disclosure and seller-financing obligations with a Michigan real estate attorney, and confirm tax treatment with a qualified tax professional. Figures shown are illustrative, are not a rate quote or an offer of credit, and do not constitute an advertisement of credit terms. Align Lending is an independent Michigan mortgage broker, NMLS #2041154.

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