{"id":72990,"date":"2021-07-30T04:30:31","date_gmt":"2021-07-30T11:30:31","guid":{"rendered":"https:\/\/www.redfin.com\/news\/?p=72990"},"modified":"2022-10-26T13:02:29","modified_gmt":"2022-10-26T20:02:29","slug":"housing-market-pending-sales-smallest-increase","status":"publish","type":"post","link":"https:\/\/www.redfin.com\/news\/housing-market-pending-sales-smallest-increase\/","title":{"rendered":"Housing Market Update: Pending Sales Post Smallest Increase in Over a Year"},"content":{"rendered":"

Home-selling speed and competition have passed their record-high peaks, meaning the market is starting to feel slightly more welcoming to buyers. But most homes still sell within two weeks and for more than list price.<\/span><\/i><\/h2>\n

Most signs point to a cooling housing market. Pending home sales posted their smallest year-over-year increase (7%) since late June 2020. The supply of homes for sale continued to plateau as the number of newly listed homes for sale followed its slow seasonal decline.\u00a0<\/span><\/p>\n

Home sale prices–a lagging indicator and a notable exception to the cooling trend–continued their steady ascent, up 19% year over year. Homebuying competition passed its lofty peak; the majority of homes are still finding buyers within two weeks and selling for above their asking price, leaving many buyers wondering when they may start to feel the chillier conditions.\u00a0<\/span><\/p>\n

Some of those buyers have grown weary, with online home searches, in-person tours and mortgage applications all on the decline.\u00a0<\/span><\/p>\n

It seems that some home sellers have realized the market is falling a bit out of their favor, as asking prices have been slowly sliding from their late-June high. A small but growing number of sellers are figuring that out the hard way–4.5% lowered their list price, the highest share since November 2019.<\/span><\/p>\n

\u201cHome sellers are increasingly having to lower their expectations,\u201d said Redfin Chief Economist <\/span>Daryl Fairweather<\/span><\/a>. \u201cMany homebuyers have turned to the rental market amid such high home prices, but now with rental prices growing, I expect many will return to the housing market by spring of next year. The transition to this new slightly cooler phase of the housing market will happen unevenly depending on the location and the desirability of the home. If you are currently looking to buy a home, I recommend that you do your research on how much attention the home is getting before you put in your offer. If you find a home without any other offers, you may be able to get it for below the list price and with inspection and financing contingencies intact.”<\/span><\/p>\n

Key housing market takeaways for 400+ U.S. metro areas:<\/span><\/h3>\n

Unless otherwise noted, the data in this report covers <\/span>the four-week period ending July 25<\/b>. Redfin\u2019s housing market data goes back through 2012.<\/span><\/p>\n

Data based on homes listed and\/or sold during the period:<\/span><\/h3>\n