Redfin Reports September Was a Turning Point For Demand, With Pending Home Sales Flat After 9 Months of Declines and Tours Hitting Highest Level Since April
On a local level, sales are increasing in most major metros. Other demand indicators, like requests for home tours and mortgage-rate locks, are also improving as mortgage rates drop to their lowest level in two years
Pending sales increased year over year in 27 of the 50 most populous
Homebuying demand at earlier parts of the buying process is improving, too. Redfin’s Homebuyer Demand Index – a measure of tours and other buying services from Redfin agents – is up 9% month over month to its highest level since April. Homebuyers locked in more than twice as many mortgages than they did a month earlier on
Homebuyers are starting to return because housing costs are coming down. The average 30-year mortgage rate dropped to 6.08% last week, its lowest level in two years, pushing the typical homebuyer’s mortgage payment down to
Declining mortgage rates are also encouraging some homeowners to sell, though that’s not a new trend: Listings have been on the rise for nearly a year, and this week’s 4.3% increase is on par with those over the last few months.
“There’s no doubt demand has picked up since the Fed’s interest-rate cut; I’m seeing much more traffic at my listings. But even though homes are selling, they’re still not typically getting multiple offers,” said
For Redfin economists’ takes on the housing market, please visit Redfin’s “From Our Economists” page.
Indicators of homebuying demand and activity |
||||
|
Value (if applicable) |
Recent change |
Year-over-year change |
Source |
Daily average 30-year fixed mortgage rate |
6.25% ( |
Up from 6.11% two weeks earlier, but still near lowest level since |
Down from 7.61% |
|
Weekly average 30-year fixed mortgage rate |
6.08% (week ending |
Lowest level in 2 years |
Down from 7.31% |
Freddie Mac |
Mortgage-purchase applications (seasonally adjusted) |
|
Increased 1% from a week earlier (as of week ending |
Up 9% |
|
Redfin Homebuyer Demand Index (seasonally adjusted) |
|
Highest level since April; up 9% from a month earlier
(as of week ending |
Up 2%
Biggest increase in over a year |
Redfin Homebuyer Demand Index a measure of tours and other homebuying services from Redfin agents |
Touring activity |
|
Up 2% from the start of the year (as of
|
At this time last year, it was down 8% from the start of 2023 |
ShowingTime, a home touring technology company |
Google searches for “home for sale” |
|
Down 6% from a month earlier (as of |
Down 8%
|
Google Trends |
Key housing-market data
Redfin’s national metrics include data from 400+ |
|||
|
Four weeks ending |
Year-over-year change |
Notes |
Median sale price |
|
4% |
|
Median asking price |
|
5.3% |
Biggest increase since February |
Median monthly mortgage payment |
|
-5.9% |
Biggest decline since
Near lowest level since January
Nearly |
Pending sales |
76,034 |
unchanged |
First time since January pending sales haven’t posted a decline |
New listings |
88,254 |
4.3% |
|
Active listings |
1,010,788 |
16.6% |
Smallest increase since April |
Months of supply |
4.2 |
+0.9 pts. |
Highest level since February
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 |
34.2% |
Down from 39% |
|
Median days on market |
39 |
+7 days |
|
Share of homes sold above list price |
26.7% |
Down from 31% |
|
Average sale-to-list price ratio |
98.9% |
-0.4 pts. |
|
Metro-level highlights: Four weeks ending
Redfin’s metro-level data includes the 50 most populous |
|||
|
Metros with biggest year-over-year increases |
Metros with biggest year-over-year decreases |
Notes |
Median sale price |
|
|
Declined in 7 metros |
Pending sales |
|
|
Increased in 27 metros |
New listings |
|
|
Declined in 13 metros |
To view the full report, including charts, please visit:
https://www.redfin.com/news/housing-market-update-pending-home-sales-demand-improving
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
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
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Source: Redfin