There’s still a shortage of homes on the market today, not a surplus. For historical context, there were too many homes for sale during the housing crisis (many of which were short sales and foreclosures), and that caused prices to fall dramatically. Mortgage standards were much more relaxed back then during the lead-up to the housing crisis, it was much easier to get a home loan than it is today. The foreclosure volume is nothing like it was during the crash, another difference is the number of homeowners that were facing foreclosure after the housing bubble burst. Foreclosure activity has been lower since the crash, largely because buyers today are more qualified and less likely to default on their loans. Not to mention, homeowners today have options they just didn`t have in the housing crisis when so many people owed more on their mortgages than their homes were worth.