SEATTLE, Oct. 5, 2020 /PRNewswire/ -- (NASDAQ: RDFN)
— The median home sale price increased 14% year over year to
$319,769—the highest on record,
according to a new report from Redfin (redfin.com), the
technology-powered real estate brokerage. The 14% jump was the
largest since August 2013. Since the
four-week period ending July 5, home
prices have increased 6.5%. Over that same period in 2018 and 2019,
prices declined an average of 4.2%
Below are other key housing market takeaways for 434 U.S. metro
areas during the 4-week period ending September 27.
- The median asking price of new listings was up 12.8% from a
year earlier. This growth rate has been declining since the
four-week period ending August 30,
when it peaked at 15.7%.
- Pending home sales climbed 30% year over year.
- New listings of homes for sale were up 5% from a year earlier.
Year-over-year growth in new listings have been above 5% since the
four-week period ending August
16.
- Active listings (the number of homes listed for sale at any
point during the period) fell 28% from 2019 to a new all-time low.
The rate of year-over-year supply declines has remained consistent
at this level for the past few months.
- 45.8% of homes that went under contract had an accepted offer
within the first two weeks on the market. This has also held
relatively steady for the last 17 weeks.
- The average sale-to-list price ratio, which measures how close
homes are selling to their asking prices, rose to 99.4%—an all-time
high and 1.2 percentage points higher than a year earlier.
- For the week ending September 27,
the seasonally adjusted Redfin Homebuyer Demand Index was up 34.8%
from pre-pandemic levels in January and February.
- Mortgage applications decreased 2% week over week during the
week ending September 25. For the
week ending October 1, 30-year
mortgage rates fell to 2.88%. Rates have been below 3% since late
July.
"The question on everyone's mind is 'how fast can prices keep
rising?'," said Redfin chief economist Daryl Fairweather. "Although the housing market
is still red-hot, there are some early signs we may be nearing peak
price growth. Sellers' asking prices are still up significantly
from last year, but by a lower rate than they were growing during
the summer. Mortgage applications are also beginning to wane, and
more new listings are coming onto the market. This is likely to be
as good as it gets for home sellers, who definitely have had it
very good for a very long time."
Lack of strong growth in new listings is likely a direct result
of the ongoing pandemic. In a recent survey of over 1,400
homebuyers and sellers, 20% of respondents said that now is a bad
time to sell a home, up from just 9% in the first quarter of the
year. In the same survey 38% of home sellers said that they have
health or safety concerns due to the coronavirus pandemic, compared
to just 8% of homebuyers who cited coronavirus as a concern.
To view the full report, including charts and methodology,
please visit:
https://www.redfin.com/blog/hot-us-real-estate-market-sept-27/
About Redfin
Redfin (www.redfin.com) is a
technology-powered residential real estate company, redefining real
estate in the consumer's favor in a commission-driven industry. We
do this by integrating every step of the home buying and selling
process and pairing our own agents with our own technology,
creating a service that is faster, better and costs less. We offer
brokerage, iBuying, mortgage, and title services, and we also run
the country's #1 real estate brokerage search site, offering a host
of online tools to consumers, including the Redfin Estimate. We
represent people buying and selling homes in over 90 markets in
the United States and Canada. Since our launch in 2006, we have
saved our customers over $800 million
and we've helped them buy or sell more than 235,000 homes worth
more than $115 billion.
For more information or to contact a local Redfin real estate
agent, visit www.redfin.com. To learn about housing market trends
and download data, visit the Redfin Data Center. To be added to
Redfin's press release distribution list, email press@redfin.com.
To view Redfin's press center, click here.
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SOURCE Redfin