Tag Archives: Redfin

Elevated mortgage rates continue to accentuate affordability concerns, keeping many prospective buyers out of the market. Meanwhile, the MBA reports application volume slid to close out 2022.

The supply of homes for sale posted a record year-over-year increase in December, according to new data from Redfin's Homebuyer Demand Index, which showed an increasing rise in demand despite many homes lingering on the market due to rising mortgage rates.

According to a new report from Redfin, some homebuyers are resuming their search as home prices and mortgage rates dip.

“Today’s affluent homebuyers are motivated to pay in cash because the surge in mortgage rates makes them want to avoid loans—and the high monthly interest payments that come with them—altogether,” said Redfin Economics Research Lead Chen Zhao.

Though high mortgage rates and economic inflation are discouraging many Americans from moving, among the people who are still buying homes, one in four are searching outside of their hometown in relatively affordable areas and hotspots like Las Vegas and Florida.

“Rent growth is likely to continue cooling,” said Redfin Economics Research Lead Chen Zhao.

According to a new report from Redfin, the Homebuyer Demand Index revealed declining rates have lured some homebuyers back into the housing market, with the typical home’s time on market rising at its fastest annual pace on record.

Redfin has found that U.S. regions where home prices spiked due to influx from out-of-town migration are now seeing prices rapidly sliding.

Mortgage rates will be key in 2023 according to Redfin, which predicts that relatively high rates will likely result in the slowest housing-market year since 2011.

“There have been a handful of pieces of relatively good news for the housing market lately, but we’re far from out of the woods,” said Taylor Marr, Redfin’s Deputy Chief Economist.