Redfin reports there are more homes for buyers
to choose from, with new listings posting their biggest uptick in
nearly three years
(NASDAQ: RDFN) —The typical U.S. monthly housing payment hit an
all-time high of $2,721 during the four weeks ending March 24, up
10% from a year earlier, according to a new report from Redfin
(redfin.com), the technology-powered real estate brokerage.
Housing payments are at a record high because of the one-two
punch of elevated mortgage rates and rising home prices. Mortgage
rates remain elevated near 7%, and the median home-sale price is up
5% year over year to roughly $375,000, just about $9,000 shy of
June 2023’s record high.
Many sellers are trying to take advantage of rising prices by
listing their home. New listings are up 15%, the biggest increase
in nearly three years, and the total number of homes for sale is up
6%, the biggest increase in nearly one year.
Increased supply is bringing back some demand, which is the main
reason price growth remains robust. Mortgage-purchase applications
are up 14% from a month ago, and pending home sales are just 1%
lower than they were a year ago, the smallest decline since the
beginning of the year.
“High mortgage rates aren’t deterring buyers as much as they
were last year; a lot of people want to get in now before prices go
up more,” said Miami Redfin agent Rachel Riva. “All of my recent
listings have gone under contract in under 10 days, and most of
them have received multiple offers. Buyers are lessening the impact
of elevated rates in a few ways: Some are making high down payments
to lower their monthly payments, and some are willing to take on a
high rate now in hopes of refinancing when and if rates come
down.”
There are a few signs that price growth could soften a bit in
the coming months. Nearly 6% of home sellers dropped their asking
price this week, on average, the highest share of any March on
record. Months of supply hit its highest level of any March since
2020–when the onset of the pandemic ground the housing market to a
halt–indicating that the market is becoming more balanced.
Leading indicators
Indicators of homebuying demand and
activity
Value (if applicable)
Recent change
Year-over-year change
Source
Daily average 30-year fixed mortgage
rate
6.91% (March 27)
Down from 7.11% a week earlier
Up from 6.44%
Mortgage News Daily
Weekly average 30-year fixed mortgage
rate
6.87% (week ending March 21)
Up from 6.74% a week earlier
Up from 6.42%
Freddie Mac
Mortgage-purchase applications
(seasonally adjusted)
Essentially unchanged from a week earlier;
up 14% from a month earlier (as of week ending March 22)
Down 16%
Mortgage Bankers Association
Redfin Homebuyer Demand Index
(seasonally adjusted)
Up 2% from a month earlier (as of week
ending March 24)
Down 8%
Redfin Homebuyer Demand Index, a measure
of requests for tours and other homebuying services from Redfin
agents
Google searches for “home for
sale”
Up 6% from a month earlier (as of March
25)
Down 5%
Google Trends
Touring activity
Up 28% from the start of the year (as of
March 25)
At this time last year, it was up 21% from
the start of 2023
ShowingTime, a home touring technology
company
Key housing-market data
U.S. highlights: Four weeks
ending March 24, 2024
Redfin’s national metrics include
data from 400+ U.S. metro areas, and is based on homes listed
and/or sold during the period. Weekly housing-market data goes back
through 2015. Subject to revision.
Four weeks ending March 24,
2024
Year-over-year change
Notes
Median sale price
$374,500
4.6%
Median asking price
$405,451
5.1%
Median monthly mortgage
payment
$2,721 at a 6.87% mortgage
rate
9.8%
Record high
Pending sales
85,048
-1.1%
Smallest decline in over 2
months
New listings
92,087
14.8%
Biggest increase since June
2021
Active listings
807,227
6.3%
Biggest increase since May
2023
Months of supply
3.3 months
+0.4 pts.
4 to 5 months of supply is
considered balanced, with a lower number indicating seller’s market
conditions
Share of homes off market in
two weeks
42.3%
Essentially unchanged
Median days on market
40
-2 days
Share of homes sold above list
price
26.8%
Up from 26%
Share of homes with a price
drop
5.8%
+1.6 pts.
Average sale-to-list price
ratio
98.8%
+0.2 pts.
Metro-level highlights: Four weeks
ending March 24, 2024
Redfin’s metro-level data includes the 50
most populous U.S. metros. Select metros may be excluded from time
to time to ensure data accuracy.
Metros with biggest year-over-year
increases
Metros with biggest year-over-year
decreases
Notes
Median sale price
West Palm B
each, FL (20.7%)
San Jose, CA (17.6%)
Miami (16.1%)
Detroit (15%)
New Brunswick, NJ (14.5%)
San Antonio, TX (-0.3%)
Declined in just 1 metro
Pending sales
San Jose, CA (25.1%)
San Francisco (20.1%)
Cincinnati (11.6%)
Anaheim, CA (9.9%)
Seattle (8.2%)
Atlanta (-15.4%)
Houston (-13%)
San Antonio, TX (-12.7%)
West Palm Beach, FL (-12.5%)
Miami (-10.7%)
Increased in roughly half of the
metros
New listings
San Jose, CA (41.8%)
Sacramento, CA (38%)
Phoenix (31.7%)
Las Vegas (27.3%)
Austin, TX (26%)
Atlanta (-6.6%)
Chicago (-2.9%)
Declined in just 2 metros
To view the full report, including charts, please visit:
https://www.redfin.com/news/housing-market-update-housing-costs-inventory-increase
About Redfin
Redfin (www.redfin.com) is a technology-powered real estate
company. We help people find a place to live with brokerage,
rentals, lending, title insurance, and renovations services. We run
the country's #1 real estate brokerage site. Our customers can save
thousands in fees while working with a top agent. Our home-buying
customers see homes first with on-demand tours, and our lending and
title services help them close quickly. Customers selling a home
can have our renovations crew fix it up to sell for top dollar. Our
rentals business empowers millions nationwide to find apartments
and houses for rent. Since launching in 2006, we've saved customers
more than $1.6 billion in commissions. We serve more than 100
markets across the U.S. and Canada and employ over 4,000
people.
Redfin’s subsidiaries and affiliated brands include: Bay Equity
Home Loans®, Rent.™, Apartment Guide®, Title Forward® and
WalkScore®.
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.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240328774631/en/
Redfin Journalist Services: Kenneth Applewhaite, 206-414-8880
press@redfin.com
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