Redfin Corp - RDFN STOCK NEWS

Redfin (NASDAQ: RDFN) reports signs of a cooling housing market as pending home sales saw the smallest year-over-year increase at 7% since June 2020. Despite home sale prices climbing 19% year over year to a record $364,250, homebuying competition is decreasing. Key indicators reveal a plateau in home listing supply and a drop in mortgage applications, reflecting buyer fatigue. Notably, homes sold for an average of 102.2% of their asking price, yet the share of homes with price drops is nearing pre-pandemic levels. Economic trends suggest a potential shift as sellers adjust to changing market conditions.

On July 28, 2021, Redfin (NASDAQ: RDFN) announced its expansion into Gainesville, Pensacola, and Tallahassee, Florida, as well as Jackson, Mississippi, marking Mississippi as its 44th state. With over 100 markets served, Redfin combines technology with local agents to enhance customer service and reduce fees. Sellers save significantly with a 1% listing fee, while buyers receive average refunds of $1,750 in applicable states. Redfin’s technology, such as 3D tours and real-time market updates, continues to attract homebuyers and sellers.

RentPath has appointed Jon Ziglar as its new CEO, effective August 16, 2021. Ziglar, previously CEO at ParkMobile, brings extensive experience in corporate strategy and growth, having increased ParkMobile's customer base by 800%. His leadership is expected to enhance RentPath's platform, integrating its listings with Redfin.com and improving service offerings. In 2021, RentPath saw a 54% increase in leads per property, setting record highs for monthly tour requests and online applications. Ziglar aims to streamline the rental process using advanced technology.

Redfin's latest report reveals that out-of-town buyers in Austin pay an average of 7.8% above the asking price, compared to 3.7% for local buyers. The typical home price for migrants is $470,000 versus $447,500 for locals. The trend is similar in Boise, where out-of-towners pay 2% above asking. The report highlights how migrants, often relocating from pricier areas, bring significant buying power, influencing home prices and market dynamics. The analysis covers data from July 2020 to June 2021 across 11 migration hotspots.

According to a recent report from Redfin, the housing market is showing signs of increased supply as homes for sale continue to climb while pending sales decline. Key findings include a median home-sale price of $364,160, a 20% year-over-year increase, and a 12% year-over-year rise in asking prices to $360,975. Pending home sales are up 9% from last year but down 11% from the 2021 peak. Despite the rise in home prices, more homes are seeing price drops, with 4.3% of listings experiencing reductions. Low mortgage rates at 2.78% are helping maintain buyer interest.

Real estate investors bought a record 67,943 U.S. homes in Q2 2021, marking a 15.1% increase from Q1 and 106.7% from Q2 2020, according to Redfin. Investment amounts reached $48.5 billion, a rise from $38.9 billion in Q1 2021. Investor share was 15.9% of total home purchases, near pre-pandemic levels. A significant 74% of these purchases were cash transactions, while single-family homes gained investor interest. Cities like Phoenix and Miami saw the highest investor activity.

Redfin Corporation (NASDAQ: RDFN) will announce its second-quarter 2021 results after market close on August 5, 2021. A live webcast of the conference call is scheduled for 1:30 p.m. Pacific Time / 4:30 p.m. Eastern Time. Investors can access the webcast via Redfin's Investor Relations website. Redfin operates as a technology-powered real estate broker and has saved customers over $1 billion in commissions since its launch in 2006. The company serves over 95 markets across the U.S. and Canada.

In June, the U.S. condo market saw significant growth, with the typical condo selling for $304,000, 0.7% above its asking price. This marks the second consecutive month of selling above asking since 2012. Nearly 42% of condos sold above asking, doubling the rate from June 2020. The speed of sales intensified, with condos going under contract in an average of 22 days. However, overall inventory dropped 18%, indicating robust demand. Year-over-year, condo sales surged 59.7%, while pending sales rose 38.2%.

Redfin reported that 31.1% of its users sought to relocate to a different metropolitan area in Q2 2021, a rise from 27.6% in Q2 2020. The trend of moving, spurred by the pandemic and remote work, indicates a shift towards affordability and distance from urban job centers. Popular destinations include Phoenix, Las Vegas, and Miami. Notably, net outflows were highest from New York, San Francisco, and Los Angeles. Although Las Vegas saw an 18.1% increase in home prices, it remains affordable compared to pricier metros.