Existing-Home Sales to Grow 3.7 Percent in 2018, but Inventory Shortages and Tax Reform Effects Loom

Chicago, IL – November 3rd, 2017 (PRNewswire) The steadily improving U.S economy, sustained job growth, and rising confidence that now is a good time to buy a home should pave the way for an increase in existing-home sales in 2018, but continued supply shortages, and passage of a tax bill that disincentives homeownership, threaten to handcuff what should be stronger activity. That is according to a residential housing and economic forecast session here at the 2017 REALTORS® Conference & Expo.

NAR logo

Lawrence Yun, chief economist at the National Association of Realtors®, presented his 2018 housing and economic forecast and was joined onstage by Ken Rosen, chairman of Rosen Consulting Group and UC Berkeley’s Fisher Center for Real Estate and Urban Economics. Rosen addressed the primary causes for the depressed U.S. homeownership rate and shared his proposed ideas, highlighted in a white paper released earlier today, on how to ensure more creditworthy households can enjoy the personal and financial benefits of owning a home.

“Despite considerable demand all year, pending sales have lost a step in recent months because low supply is pushing prices higher and making homebuying less affordable in several parts of the country,” said Yun.

With a few months of data remaining in 2017, Yun estimates that existing-home sales will finish at a pace of 5.47 million – the best since 2006 (6.47 million), but only a modest improvement (0.4 percent) from 2016 (5.45 million). In 2018, sales are forecast to expand 3.7 percent to 5.67 million. The national median existing-home price is expected to rise to around 5.5 percent this year and next year.

Yun and Rosen, however, both cautioned that the House Ways and Means Committee’s release yesterday of its legislative proposal to overhaul the American tax code could very well affect home sales and prices next year and beyond. The tax bill in its current form is a direct tax hike on homeowners and nullifies the homeownership incentive for all but the top 5 percent of tax filers. Earlier this year, NAR released a full analysis of the House Republican blueprint for reform, finding that it could negatively affect home values by about 10 percent and raise taxes on middle-class homeowners by an average of $815.

Much of Yun and Rosen’s presentation focused on the reasons why many would-be buyers are not reaching the market. NAR’s 2017 Profile of Home Buyers and Sellers, released earlier this week, revealed that first-time buyers were only 34 percent of sales over the past year, which was the fourth lowest since the survey began 36 years ago.

Rosen, presenting findings from Rosen Consulting Group’s three white papers released this year on the depressed homeownership rate, said a perverse mix of affordability challenges, student loan debt, tight credit conditions and housing supply shortages continue to hamper many households from owning a home. This is despite extremely low mortgage rates that should be fostering the biggest for-sale housing boom in American history.

“Ownership rates are currently below their peak across the younger age groups and in cities that have seen sharp price increases, and it’s not a good thing,” said Rosen, “A higher rate of homeownership makes sense. It is so important to the financial health of the economy. Homeownership helps households accumulate wealth over time, reduces inequality, increases investments in communities and boosts economic growth.”

According to Yun, the biggest impediment to sales right now and into next year is the massive shortage of supply in relation to overall demand. The lagging pace of new home construction in recent years is further creating a logjam in housing turnover. Without enough new homes on the market, homeowners are typically staying put for a longer period of time before selling, typically 10 years, which is keeping inventory low and hurting affordability.

“The lack of inventory has pushed up home prices by 48 percent from the low point in 2011, while wage growth over the same period has been only 15 percent,” said Yun. “Despite improving confidence this year from renters that now is a good time to buy a home, the inability for them to do so is causing them to miss out on the significant wealth gains that homeowners have benefitted from through rising home values.”

Pointing to Los Angeles and the Bay Area as examples of areas with significant affordability constraints, Yun said unhealthy levels of price appreciation are also occurring in many other markets with strong job growth, but without the commensurate rise in housing starts. As a result, the ability to buy a home has become extremely difficult for even those with well-paying jobs and is forcing households to flee expensive areas in the West and Mountain regions for more affordable parts of the country. This in turn could affect future job growth in these areas and ultimately soften housing demand.

Although Yun forecasts single-family housing starts to jump 9.4 percent to 950,000 next year, this is still below the 50-year average of around 1.2 million starts. New single-family home sales are likely to total 606,000 this year and rise to around 690,000 in 2018.

Rosen agreed with Yun’s remarks that a significant boost in residential construction is needed to improve affordability and increase sales. He explained that the white paper released today, “Rebuilding the American Dream: Strategies to Sustainably Increase Homeownership,” identifies 25 ideas to bolster homeownership. They include: overriding restrictive zoning laws, promoting modular construction [to increase supply], a down payment savings program, tackling the burden of student debt, and a nationwide counseling program for homeowners who previously experienced foreclosure and may be hesitant to consider buying a home again, among others.

“A willingness to embrace new ideas will go a long way towards easing the constraints of low supply, student debt and weaker affordability that are currently suppressing homeownership,” said Rosen.

After two consecutive quarters of economic growth of 3 percent, Yun expects GDP to come in around 2.2 percent for the year and to expand to 2.7 percent overall in 2018, as long as job growth remains solid and residential construction picks up.

With the Federal Reserve unwinding its balance sheet and continuing its plan to slowly raise short-term rates, Yun believes mortgage rates will gradually climb towards 4.50 percent by the end of 2018.

“An overwhelming majority of renters want to own a home in the future and believe it is part of their American Dream,” said Yun. “Assuming there are no changes to the tax code that hurt homeownership, the gradually expanding economy and continued job creation should set the stage for a more meaningful increase in home sales in 2018.”

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.3 million members involved in all aspects of the residential and commercial real estate industries.

Information about NAR is available at www.nar.realtor. This and other news releases are posted in the newsroom in the “About NAR” tab.

Redfin Housing Demand Index Virtually Flat from July to August Due to Continued Inventory Shortage

The number of Redfin customers touring and writing offers was basically even from July to August, but increased year over year

Seattle, WA – September 28th 2017 (BUSINESS WIRE) (NASDAQ:RDFN) — The Redfin Housing Demand Index remained virtually flat, up slightly from 126 in July to 127 in August, according to Redfin (www.redfin.com), the next-generation real estate brokerage. Still, the Demand Index increased 27.7 percent year over year. The Demand Index is adjusted for Redfin’s market share growth.

Redfin Logo

The Demand Index is based on thousands of Redfin customers requesting home tours and writing offers. A level of 100 represents the historical average for the three-year period from January 2013 to December 2015.

Across the 15 metros covered by the Demand Index, there were 13.9 percent fewer homes for sale in August than there were a year prior, and there was a 2.7 percent decline in new listings. August marked the 27th consecutive month of year-over-year inventory declines in these markets.

“High consumer confidence and low interest rates have powered homebuyer demand, but too-low inventory has constrained home sales all year,” said Redfin chief economist Nela Richardson. “The Federal Reserve is now setting the stage for a slow, steady increase in mortgage rates in October by beginning to sell its mortgage portfolio. Fall buyers are likely to face slightly higher financing costs in addition to strong price growth.”

The seasonally adjusted number of buyers requesting home tours and writing offers remained flat from July to August, decreasing 0.8 percent and increasing 0.1 percent respectively. Compared to last year, 42.3 percent more buyers requested tours in August and 8.2 percent more wrote offers.

At the metro level, Oakland had the largest Demand Index increase in August, up 29 percent from July and 43 percent year over year. Inventory was down 30 percent year over year and new listings fell 5.3 percent.

“August has traditionally been one of the slowest months in Oakland for homebuyer activity as people go on vacation and finish up their family activities before the kids head back to school,” said Redfin Oakland agent Tom Hendershot. “This year, August demand has really ramped up compared to July, and we expect September to be a very active month as long as more new inventory hits the market.”

To read the full report, including metro-level demand data and charts, click here.

About Redfin

Redfin (www.redfin.com) is the next-generation real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer’s favor. Founded by software engineers, Redfin has the country’s #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry’s lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 80 major metro areas across the U.S. The company has closed more than $50 billion in home sales.

Contacts

Redfin Journalist Services:
Jon Whitely
(206) 588-6863
press@redfin.com

Rising Sea Levels Pose Significant Risk to Owners of Less Expensive Homes

Less affluent homeowners have more of their wealth stored in their homes, and could face catastrophic losses if their homes are damaged by higher sea levels

– $916 billion worth of U.S. homes could be lost if sea levels rise six feet

– Nearly two-thirds of homes at risk of rising sea levels are in suburban areas

– More than one quarter of all at-risk homes are in Miami

Seattle, WA – Oct. 18, 2017 (PRNewswire) Rising sea levels are expected to impact $916 billion worth of homes in the next 100 years, most of which are low-end or median-value homes.

Zillow Logo

Zillow® analyzed the types of homes that could be underwater, absent preventative measures, based on recent estimates of how high sea levels could rise by 2100(i) due to climate change.

The majority of all homes at risk of flooding due to rising sea levels are in suburban areas – 65.4 percent of homes are in suburban areas, compared to 22.6 percent in urban locations and 12 percent in rural areas(ii).

Overall, 39 percent of the homes expected to be underwater in 2100 are among the nation’s most valuable. The rest are near the median value or below – and a quarter are among the least valuable homes. This is significant because less wealthy communities and households are less likely to be able to afford preventative measures to ward off rising seas. For most homeowners, a home is their biggest single investment, and its value is a major share of their overall wealth. Any significant damage to a home is harder to recover from when most of an owner’s wealth is tied up in that same home.

Owners of high-end homes are more likely to live in communities with the resources and connections needed to protect their homes, such as building sea walls or making structural changes that help homes withstand floodwaters. But in markets where the majority of homes at risk of rising water are among the least valuable in the area, these options might be out of reach.

Less than 20 percent of homes in Honolulu that are at risk of flooding due to rising sea levels are high-end homes. That means the majority of homeowners who could lose their homes may be less able to make investments to protect their properties, especially lower income homeowners who have to spend a larger share of their income on mortgage payments(iii).

“We’ve seen the enormous impact flooding can have on a city and its residents,” said Zillow Chief Economist Dr. Svenja Gudell. “It’s harder for us to think about it on a long-term timeline, but the real risks that come with rising sea levels should not be ignored until it’s too late to address them. With organized and committed planning, cities can help protect both current and future residents. Living near the water is incredibly appealing for people around the country, but it also comes with additional considerations for buyers and homeowners. Homes in low-lying areas are also more susceptible to storm flooding and these risks could be realized on a much shorter timeline as we have seen time and time again.”

Miami holds 25.8 percent of all U.S. homes at risk of rising sea levels, which are cumulatively worth $217.3 billion. The three cities with the greatest number of homes threatened by higher sea levels are in the Miami metropolitan area. Fort Lauderdale, Miami Beach and Miami could all lose more than 30,000 homes to sea level increases.

20 Metropolitan Areas with the Most Homes Threatened By Sea Level Increases

Chart

Zillow

Zillow is the leading real estate and rental marketplace dedicated to empowering consumers with data, inspiration and knowledge around the place they call home, and connecting them with the best local professionals who can help. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow’s Chief Economist Dr. Svenja Gudell. Dr. Gudell and her team of economists and data analysts produce extensive housing data and research covering more than 450 markets at Zillow Real Estate Research. Zillow also sponsors the quarterly Zillow Home Price Expectations Survey, which asks more than 100 leading economists, real estate experts and investment and market strategists to predict the path of the Zillow Home Value Index over the next five years. Launched in 2006, Zillow is owned and operated by Zillow Group, Inc. (NASDAQ: Z and ZG), and headquartered in Seattle.

Zillow is a registered trademark of Zillow, Inc.

(i) https://www.zillow.com/research/climate-change-underwater-homes-12890/

(ii) Among homes for which Zillow has an urban/suburban/rural designation. About 10 percent of homes are not classified.

(iii) https://www.zillow.com/research/low-income-mortgages-unaffordable-16490/

September Home Sales Slow Amid Strong Prices, Low Inventory

October RE/MAX National Housing Report on MLS Data from 54 Metro Areas

Denver, CO – Oct. 16, 2017 (PRNewswire) September became the fifth month this year to post a decline in home sales compared to a record-setting 2016, while marking the 71st consecutive month of rising sale prices year-over-year, according to the October RE/MAX National Housing Report.

remax logo

Joining August, July, April and February, September home sales dropped 4.2% year-over-year in the report’s monthly analysis of housing data in 54 metro areas. Going in the opposite direction, the Median Sales Price increased to $225,000. Though the lowest price since March, it was 2.3% higher than September 2016. The last month when home prices did not increase year-over-year was October 2011.

Three-quarters of the way through 2017, other notable numbers from the RE/MAX National Housing Report include:

  • In the wake of Hurricane Irma in early September, Miami saw home sales drop 35.2% year-over-year. Houston, meanwhile, posted a 3.2% gain despite the impact of Hurricane Harvey in late August.
  • Days on Market declined by one week, from 56 in September 2016 to 49.
  • At 3.6, the Months Supply of Inventory was the lowest of any September in the report’s 9-year history. Twenty-three markets are at 3 months or less.
  • Mirroring this, inventory dropped 14.1% year-over-year, with 46 metro areas seeing fewer homes for sale. Year-over-year, inventory has declined every month since November 2008.

“We’re not seeing any relief from the nationwide housing shortage as we enter the typically slower fall and winter selling seasons,” said Adam Contos, RE/MAX Co-CEO. “Plain and simple, we need more homes, particularly at the entry-level price point. Until then, it will most likely continue to be a seller’s market with homes going from listed to sold quickly.”

Real Estate Infographic

Closed Transactions
Of the 54 metro areas surveyed in September 2017, the overall average number of home sales decreased 14.9% compared to August 2017 and decreased 4.2% compared to September 2016. Sixteen of the 54 metro areas experienced an increase in sales year-over-year including, Billings, MT,+18.4%, Burlington, VT, +7.6%, Chicago, IL, 7.4%, Honolulu, HI, +4.6% and Las Vegas, NV +3.8%.

Median Sales Price – Median of 54 metro median prices
In September 2017, the median of all 54 metro Median Sales Prices was $225,000, down 5% from August 2017 but up 2.3% from September 2016. Only five metro areas saw a year-over-year decrease in Median Sales Price or remained unchanged (Trenton, NJ, -8.5%, Hartford, CT, -5.3%, Billings, MT, -2.2%, and Augusta, ME and Baltimore, MD at 0.0%). Eight metro areas increased year-over-year by double-digit percentages, with the largest increases seen in Seattle, WA, +13.7%, San Francisco, CA, +13.2%, Providence, RI, +13%, Las Vegas, NV, +12.2% and Tampa, FL, +11.4%.

Days on Market – Average of 54 metro areas
The average Days on Market for homes sold in September 2017 was 49, up two days from the average in August 2017, and down seven days from the September 2016 average. The four metro areas with the lowest Days on Market were Omaha, NE, at 23, Seattle, WA, at 25, and San Francisco, CA, at 26. The highest Days on Market averages were in Augusta, ME, at 105 and Burlington, VT, at 94. Days on Market is the number of days between when a home is first listed in an MLS and a sales contract is signed.

Months Supply of Inventory – Average of 54 metro areas
The number of homes for sale in September 2017 was down 3.6% from August 2017, and down 14.1% from September 2016. Based on the rate of home sales in September, the Months Supply of Inventory increased to 3.6 from August 2017 at 3.1, compared to September 2016 at 3.9. A 6.0-months supply indicates a market balanced equally between buyers and sellers. In September 2017, 51 of the 54 metro areas surveyed reported a months supply of less than 6.0, which is typically considered a seller’s market. The metro areas that saw a months supply above 6.0, which is typically considered a buyer’s market, were Miami, FL, at 11.8, Augusta, ME, at 6.4, and Birmingham, AL, at 6.3. The markets with the lowest Months Supply of Inventory continued to be in the west with San Francisco, CA, at 1.2, Seattle, WA, at 1.5, Denver, CO, at 1.6 and San Diego, CA, at 1.8.

Contact
For specific data in this report or to request an interview, please contact newsroom@remax.com.

About the RE/MAX Network:
RE/MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture affording its agents and franchisees the flexibility to operate their businesses with great independence. Over 115,000 agents provide RE/MAX a global reach of more than 100 countries and territories. Nobody sells more real estate than RE/MAX, when measured by residential transaction sides. RE/MAX, LLC, one of the world’s leading franchisors of real estate brokerage services, is a wholly-owned subsidiary of RMCO, LLC, which is controlled and managed by RE/MAX Holdings, Inc. (NYSE: RMAX). With a passion for the communities in which its agents live and work, RE/MAX is proud to have raised more than $157 million for Children’s Miracle Network Hospitals® and other charities. For more information about RE/MAX, to search home listings or find an agent in your community, please visit www.remax.com. For the latest news about RE/MAX, please visit www.remax.com/newsroom.

Description
The RE/MAX National Housing Report is distributed each month on or about the 15th. The first Report was distributed in August 2008. The Report is based on MLS data in approximately 54 metropolitan areas, includes all residential property types, and is not annualized. For maximum representation, many of the largest metro areas in the country are represented, and an attempt is made to include at least one metro from each state. Metro area definitions include the specific counties established by the U.S. Government’s Office of Management and Budget, with some exceptions.

Definitions
Transactions are the total number of closed residential transactions during the given month. Months Supply of Inventory is the total number of residential properties listed for sale at the end of the month (current inventory) divided by the number of sales contracts signed (pended) during the month. Where “pended” data is unavailable, this calculation is made using closed transactions. Days on Market is the number of days that pass from the time a property is listed until the property goes under contract for all residential properties sold during the month. Median Sales Price is the median of the median sales prices in each of the metro areas included in the survey.

MLS data is provided by contracted data aggregators, RE/MAX brokerages and regional offices. While MLS data is believed to be accurate, it cannot be guaranteed. MLS data is constantly being updated, making any analysis a snapshot at a particular time. Every month the RE/MAX National Housing Report re-calculates the previous period’s data to ensure accuracy over time. All raw data remains the intellectual property of each local MLS organization.

Redfin: Home Prices Surged 7.7 Percent in August as Inventory Fell 12.4 Percent

Hurricane Harvey sent Houston home sales down 29 percent while new listings tumbled 12 percent

Seattle, WA – September 14, 2017 (BUSINESS WIRE) (NASDAQ: RDFN) — Home prices in August surged 7.7 percent, the largest year-over-year price gain since May 2015, according to Redfin (www.redfin.com), the next-generation real estate brokerage. The national median sale price was $293,000, flat from July. None of the metro areas Redfin tracks saw prices decline in August. The median value of off-market homes in August was $251,000, as measured by the Redfin Estimate, up 0.7 percent from July.

Redfin Logo

Sales in August fell 5.5 percent compared to last year, the largest decline posted since July 2016. This follows the 5 percent decline posted in July by the Redfin Housing Demand Index.

The number of homes for sale plunged 12.4 percent, the largest year-over-year decline in a 23-month streak of declining inventory. The number of new listings in August was down 1 percent from a year ago, leaving just 2.8 months of supply. Less than six months of supply signals the market is tilted in favor of sellers.

Chart

Nearly a quarter (24.9%) of homes sold above their list price. The average sale-to-list ratio was 98.5 percent. The typical home that sold in August went under contract in 39 days, two days longer than July’s record-setting pace, typical of a seasonal slowdown.

“The real estate market still favors sellers, with strong demand and rising prices, but perhaps less so now than earlier in the year,” said Redfin CEO Glenn Kelman. “Newly listed homes are selling faster in 2017 than in 2016, but whereas in April the market was nine days faster than the 2016 market, in August it was five; the gap between 2016 and 2017 is narrowing slightly. Normally such differences wouldn’t be worth mentioning, but Redfin managers of coastal markets where demand has been strongest are now reporting that some buyers are stepping back from higher prices.”

Hurricane Harvey’s Impact on the Houston Real Estate Market

Hurricane Harvey sent Houston sales falling 29 percent year over year, as buyers backed out of purchasing flooded homes and home settlements were delayed awaiting required reinspections. Flood damage is limiting the number of homes being listed for sale. New listings declined 12.2 percent compared to last August. Despite the decline in new listings, inventory was still up 5.7 percent compared to last year.

While most real estate activity halted for a few days immediately following the storm, Redfin agents reported rebounding buyer interest, tours and offers in the final days of the month.

Other August Data

Competition

  • Seattle, WA was the fastest market, with nearly half of all homes pending sale in just 8 days, down from 10 days from a year earlier. Portland, OR and Denver, CO were the next fastest markets with 11 and 12 median days on market, followed by Boston, MA (13) and Tacoma, WA (13).
  • The most competitive market in August was San Jose, CA where 73.8% of homes sold above list price, followed by 72.3% in San Francisco, CA, 67.3% in Oakland, CA, 51.3% in Seattle, WA, and 48.1% in Tacoma, WA.

Prices

  • Seattle, WA had the nation’s highest price growth, rising 16% since last year to $522,000. Fort Lauderdale, FL had the second highest growth at 15.6% year-over-year price growth, followed by Cincinnati, OH (14.5%), Las Vegas, NV (14%), and San Jose, CA (13.4%).
  • No metros saw a price decline in August.
  • Detroit, MI had the highest month-over-month increase in the value of off-market homes up 3%, as measured by the Redfin Estimate; this mirrored price growth for on-market homes, up 5.3% year over year.

Sales

  • Columbia, SC saw the largest decline in sales since last year, falling 93.2%. Home sales in Newark, NJ and Houston, TX declined by 75.3% and 29.1%, respectively.
  • 4 out of 75 metros saw sales surge by double digits from last year. Camden, NJ led the nation in year-over-year sales growth, up 22%, followed by Baton Rouge, LA, up 21%. Baltimore, MD rounded out the top three with sales up 19% from a year ago.

Inventory

  • San Jose, CA had the largest decrease in overall inventory, falling 49.9% since last August. Oakland, CA (-31.8%), San Francisco, CA (-30.9%), and Tampa, FL (-26.8%) also saw far fewer homes available on the market than a year ago.
  • Austin, TX had the highest increase in the number of homes for sale, up 13.9% year over year, followed by New Orleans, LA (8.3%) and Houston, TX (5.7%).

Redfin Estimate

  • The median list price-to-Redfin Estimate ratio was 94.1% in San Francisco, the lowest of any market. This indicates the typical home for sale in August was listed at a price 5.9% below its estimated value. Only 8.9% of homes in San Francisco were listed for more than their Redfin Estimate.
  • Conversely, the median list price-to-Redfin Estimate ratio was 103% in Miami, FL and 102.6% in West Palm Beach, which means sellers are listing their homes for more than the estimated value in those metro areas. In Miami, 64.6% of homes were listed above their Redfin Estimate.

To read the full report, complete with data and charts, click here.

About Redfin

Redfin (www.redfin.com) is the next-generation real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer’s favor. Founded by software engineers, Redfin has the country’s #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry’s lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 80 major metro areas across the U.S. The company has closed more than $50 billion in home sales.

Contacts

Redfin Journalist Services:
Alina Ptaszynski
(206) 588-6863
press@redfin.com

Redfin Housing Demand Index Dipped from June to July as Inventory Shortage Deepened

The number of Redfin customers requesting home tours and writing offers fell in July, but is still up by double digits year over year

Seattle, WA – September 1, 2017 (redfin.com) (NASDAQ: RDFN) The Redfin Housing Demand Index fell 5.0 percent from its all-time high of 130 in June to 124 in July, according to Redfin (www.redfin.com), the next-generation real estate brokerage. Still, the Demand Index was up 29.7 percent year over year. The Demand Index is adjusted for Redfin’s market share growth.

Redfin Logo

The Demand Index is based on thousands of Redfin customers requesting home tours and writing offers. A level of 100 represents the historical average for the three-year period from January 2013 to December 2015. The underlying methodology to the Redfin Housing Demand Index was revised in August 2017 to improve the way it accounts for the company’s market share.

Across the 15 metros covered by the Demand Index, there were 13.9 percent fewer homes for sale in July than there were a year prior, and there was a 5.9 percent decline in new listings. July marked the 26th consecutive month of year-over-year inventory declines.

“Buyer demand has been stronger so far in 2017 than last year, but the combination of low inventory and rising home prices is taking its toll heading into the fall,” said Redfin chief economist Nela Richardson. “Sellers are still in control of the market, but their advantage is narrowing as buyers are becoming less willing or able to chase escalating prices.”

The seasonally adjusted number of buyers requesting home tours fell 3.3 percent from June to July, while the number of those who wrote offers dropped 11.0 percent. Compared to last year, 35.3 percent more buyers requested tours in July and 21.0 percent more wrote offers.

To read the full report, including metro-level demand data and charts, click here.

About Redfin

Redfin (www.redfin.com) is the next-generation real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer’s favor. Founded by software engineers, Redfin has the country’s #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry’s lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 80 major metro areas across the U.S. The company has closed more than $50 billion in home sales.

Contact Redfin

Redfin Journalist Services:
Jon Whitely
(206) 588-6863
press@redfin.com