Redfin Reports Homebuyers Face the Fastest, Priciest Market on Record
A record 57% of homes sold in two weeks and the typical monthly mortgage payment soared to a new high, approaching $2,000
SEATTLE--(Friday, February 18, 2022--(BUSINESS WIRE)--(NASDAQ: RDFN) —Homes sold faster than ever during the four weeks ending February 13, as a record 57% of homes that went under contract did so within two weeks of being listed, according to a new report from Redfin (www.redfin.com), the technology-powered real estate brokerage.
People buying homes now are paying more than ever before, too—a median $1,997 per month—as asking prices soared 16% year over year to a new high, and mortgage rates shot up to their highest level since May 2019. The pace and cost of homebuying are soaring largely because there is so little to buy. New listings fell 8% year over year, sending overall supply to a new low and putting a damper on pending sales, which fell 2.7%.
“The acute shortage of new listings of homes for sale is the biggest problem the housing market faces right now,” said Redfin Deputy Chief Economist Taylor Marr. “If you think of the housing market like a bathtub, water (supply of homes for sale) is flowing down the drain (buyers sucking up supply) faster than new water (new listings) is coming in through the faucet. Rising mortgage rates may slow the drain down a bit (cool demand) as record-high monthly payments take a toll on buyers’ budgets. Bottom line: without a flood of new listings, we will be sitting in a very shallow bath for a while.”
Key housing market takeaways for 400+ U.S. metro areas:
(Redfin media release continues in the We Get Around Network Forum (www.WGANForum.com).