Redfin Reports Home-Price Growth Slows as Mortgage Rates Dip to Lowest Level in Over 2 Months
Some Redfin agents are advising prospective buyers to get serious now as mortgage rates decline and the housing market tilts in buyers’ favor
In addition to a bit of cost relief, another factor is working in buyers’ favor. House hunters have a bit more power to negotiate on sale price and terms as supply piles up in some parts of the country. There are 4.6 months of supply on the market, up from 4 months at this time last year, and the typical home is selling for roughly
There are signs that slowing price growth, declining rates and more favorable conditions are bringing some house hunters back to the market. Redfin’s Homebuyer Demand Index—a seasonally adjusted measure of tours and other buying services from Redfin agents—has jumped to its highest level since the start of the year, and Google searches of “homes for sale” nationwide have hit their highest level since September.
But home sales have yet to improve. Pending home sales are down
Redfin agents in some parts of the
“My advice to buyers: If you’re thinking of purchasing a home in the next six months, don’t wait until the flowers start blooming,” said Alison Williams, a Redfin Premier agent in
For Redfin economists’ takes on the housing market, please visit Redfin’s “From Our Economists” page.
Leading indicators
Indicators of homebuying demand and activity |
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|
Value (if applicable) |
Recent change |
Year-over-year change |
Source |
Daily average 30-year fixed mortgage rate |
|
Lowest level since Dec. 10 |
Down from |
Mortgage News Daily |
Weekly average 30-year fixed mortgage rate |
|
Lowest level in 2 months |
Down from |
Freddie Mac |
Mortgage-purchase applications (seasonally adjusted) |
|
Unchanged from a week earlier (as of week ending Feb. 21) |
Up |
Mortgage Bankers Association |
Redfin Homebuyer Demand Index (seasonally adjusted) |
|
Up |
Down
|
Redfin Homebuyer Demand Index, a measure of tours and other homebuying services from Redfin agents |
Touring activity |
|
Up |
At this time last year, it was up |
ShowingTime, a home touring technology company |
Google searches for “home for sale” |
|
Up over |
Up
|
Google Trends |
Key housing-market data
Redfin’s national metrics include data from 400+ |
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|
Four weeks ending Feb. 23, 2025 |
Year-over-year change |
Notes |
Median sale price |
|
|
Smallest increase since September |
Median asking price |
|
|
|
Median monthly mortgage payment |
|
|
|
Pending sales |
73,415 |
- |
|
New listings |
81,553 |
|
|
Active listings |
907,659 |
|
Smallest increase in nearly a year |
Months of supply |
4.6 |
+0.7 pts. |
4 to 5 months of supply is considered balanced, with a lower number indicating seller’s market conditions |
Share of homes off market in two weeks |
|
Down from |
|
Median days on market |
56 |
+6 days; near longest span since March 2020 |
|
Share of homes sold above list price |
|
Down from |
|
Average sale-to-list price ratio |
|
Down from |
|
Metro-level highlights: Four weeks ending Feb. 23, 2025
Redfin’s metro-level data includes the 50 most populous |
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|
Metros with biggest year-over-year increases |
Metros with biggest year-over-year decreases |
Notes |
Median sale price |
|
|
Declined in 4 metros |
Pending sales |
|
|
Increased in 6 metros |
New listings |
|
|
Increased in 19 metros
|
To view the full report, including charts, please visit:
https://www.redfin.com/news/housing-market-update-early-stage-demand-improves-rates-fall
About Redfin
Redfin (www.redfin.com) is a technology-powered real estate company. We help people find a place to live with brokerage, rentals, lending, and title insurance services. We run the country's #1 real estate brokerage site. Our customers can save thousands in fees while working with a top agent. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we've saved customers more than
Redfin’s subsidiaries and affiliated brands include: Bay Equity Home Loans®, Rent.™, Apartment Guide®, Title Forward® and WalkScore®.
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.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250227416279/en/
Contact Redfin
Redfin Journalist Services:
Tana Kelley
press@redfin.com
Source: Redfin