63% of 2020 Homebuyers Made an Offer Sight Unseen, Shattering Previous Record

Rhea-AI Summary

Redfin's latest report reveals that 63% of homebuyers in 2020 made offers on properties they had not seen in person, a significant increase from 32% in 2019. The surge is attributed to the rise in remote work and the popularity of virtual home tours, which have become a routine aspect of the buying process. The report highlights a 563% increase in views of 3D walkthroughs and a marked rise in video tours, indicating a shift in buyer behavior. Additionally, 27.8% of Redfin users were looking to relocate, reflecting ongoing migration trends.

Positive

• 63% of homebuyers made offers sight unseen in 2020, up from 32% in 2019.
• Video tours have surged to about 10% of all Redfin tour requests, highlighting a shift in homebuying practices.
• Views of 3D walkthroughs on Redfin.com increased by 563% since February, showcasing growing interest in technology.

Negative

• None.

SEATTLE, Jan. 14, 2021 /PRNewswire/ -- (NASDAQ: RDFN) — Nearly two thirds (63%) of people who bought a home last year made an offer on a property that they hadn't seen in person, the highest share since at least 2015. That's up from 32% a year earlier, and 45% in July, which was previously the high point, according to a new report from Redfin (www.redfin.com), the technology-powered real estate brokerage. Redfin's report is based on a survey it commissioned in November and December of more than 1,900 homebuyers across 32 major markets. 

"The virtual home tour is here to stay," said Redfin chief economist Daryl Fairweather. "Homebuyers who are searching for a home out of town and don't have the time or ability to view the home in person will use virtual tours as their primary means of viewing a home. The increased use of this technology, coupled with more people relocating, mean the sight-unseen trend will continue, and the majority of homebuyers will make offers sight unseen during their search for a home in 2021."

Video tours with a Redfin agent have surged this year, from less than 1% of Redfin tour requests at the beginning of 2020 to about 1 in 10 today. Similarly, monthly views of 3D walkthroughs on Redfin.com have increased 563% since February.

"Live-video home tours have gone from futuristic fantasy to an everyday part of the homebuying process," said Connecticut-based Redfin agent, Mary Ellen Wisneski. "Over video I'm able to show my buyers closeups of anything in the home and describe peculiar details they can't experience in 3D walkthroughs or photographs—it's like they are actually there with me."

Much of this virtual homebuying activity is being fueled by a surge in migration as remote work becomes much more common. In 2020, 27.8% of Redfin.com users were looking to relocate, an all-time high and up 2.3 percentage points from 25.5% in 2019.

To read the full report, please visit: https://www.redfin.com/news/remote-homebuying-surges-to-new-high/ 

About Redfin 
Redfin (www.redfin.com) is a technology-powered residential real estate company, redefining real estate in the consumer's favor in a commission-driven industry. We do this by integrating every step of the home buying and selling process and pairing our own agents with our own technology, creating a service that is faster, better and costs less. We offer brokerage, iBuying, mortgage, and title services, and we are the #1 nationwide brokerage website, offering a host of online tools to consumers, including the Redfin Estimate. We represent people buying and selling homes in over 90 markets in the United States and Canada. Since our launch in 2006, we have saved our customers over $800 million and we've helped them buy or sell more than 235,000 homes worth more than $115 billion.

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 Redfin Data Center. To be added to Redfin's press release distribution list, email press@redfin.com. To view Redfin's press center, click here.

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SOURCE Redfin

FAQ

What percentage of homebuyers made offers sight unseen in 2020 according to Redfin?

According to Redfin, 63% of homebuyers made offers on properties they hadn't seen in person in 2020.

How much have video tours increased in requests on Redfin?

Video tours now account for about 10% of all tour requests on Redfin, up from less than 1% at the beginning of 2020.

What trend did Redfin identify regarding homebuyers looking to relocate?

Redfin reported that 27.8% of users were looking to relocate in 2020, an all-time high.

How much have views of 3D walkthroughs increased on Redfin?

Views of 3D walkthroughs on Redfin.com have increased by 563% since February 2020.