More people are trying to sell homes than buy them, but that alone does not mean prices will fall — and the gloom itself is the buying case.

• Sellers now outnumber buyers, yet the same setup in 2013 was followed by rising prices, not falling ones.
• Listing a home is not the same as selling one; if the price is not there, sellers can simply pull the listing.
• Housing is the top place to put new money right now, with a smaller slice into stocks.
• The appeal is the pessimism itself — almost everyone thinks housing is a bad bet at the moment.

Outlook: Extra supply is unlikely to force prices down on its own, and buyers who move while sentiment is sour may get the better deal.