Incorrect host disk space

I'm running Parallels on a M5 MacBook Pro, with fee storage of over 600gb, but my VM is only reporting 89gb free disk space.


I've tried all the usual suggestions, disabling Time Machine, removing Sync free space with Mac, Rebooting both systems, etc etc.

Please help as this is preventing me from restoring a large SQL database for a client.

 

I ran into this same problem after updating to macOS 26.5.1 on my M1 MacBook Pro. It appears to be caused by a mismatch between the amount of free space reported in Disk Utility and the amount reported in System Settings > General > Storage. At least for me, it seems Parallels was picking up on the lower free space reported in Disk Utility because it was ignoring the purgeable space as available to write.

Use at your own risk, but I resolved this by going into Disk Utility, selecting the Macintosh HD item, selecting View > Show APFS Snapshots. After the snapshots populated at the bottom, I selected three or four of the oldest snapshots and tapped the minus icon at the bottom to delete them and reclaim that purgeable space. If you decide to try this, use with caution.