Redfin Reports Pending Sales Still Up 6% From 2020

Rhea-AI Summary

Redfin (NASDAQ: RDFN) reports strong homebuying demand in August, with pending sales up 6% year-over-year. Home prices increased by 14%, reaching a median of $358,250. Despite the high prices, the competitive landscape is softening, with fewer homes sold above list price and a decline in new listings by 7%. Homes sold faster, with 50% going above the asking price. The average home sold for 101.4% of the list price. Mortgage applications dipped 0.2% week-over-week, while the Redfin Homebuyer Demand Index rose 19% from the prior year.

Positive

• Pending sales increased by 6% year-over-year.
• Median home-sale price rose 14% to $358,250.
• 50% of homes sold above list price, up from 33% a year earlier.
• The Redfin Homebuyer Demand Index was up 19% from the previous year.

Negative

• New listings of homes for sale decreased by 7% year-over-year.
• Active listings fell by 23% compared to 2020.
• Share of homes sold above list price has decreased since its peak in July.

SEATTLE, Sept. 9, 2021 /PRNewswire/ -- (NASDAQ: RDFN) — Strong homebuying demand continued through the end of August, with pending sales up 6% from a year earlier, according to a new report from Redfin (redfin.com), the technology-powered real estate brokerage.

Measures of competition, such as the share of homes sold above list price and the number of homes sold in two weeks, are continuing to soften. Still, home prices remain high, up 14% from the same time a year ago.

"More homes were listed this summer, but they were quickly snatched up by homebuyers even as bidding wars have become more rare," said Redfin Lead Economist Taylor Marr. "The market hasn't cooled off any further than it usually does this time of year, and we expect homebuying demand to remain strong through the fall."

Key housing market takeaways for 400+ U.S. metro areas:
Unless otherwise noted, this data covers the four-week period ending September 5. Redfin's housing market data goes back through 2012.

• The median home-sale price increased 14% year over year to $358,250.
• Asking prices of newly listed homes were up 10% from the same time a year ago to a median of $353,500, on par with where asking prices were in late April. This was down 2% from the all-time high set during the four-week period ending June 27.
• New listings of homes for sale were down 7% from a year earlier. The number of homes being listed is in a typical seasonal decline, down 16% from the 2021 peak reached during the four-week period ending June 27.
• Active listings (the number of homes listed for sale at any point during the period) fell 23% from 2020. Active listings were up 14% from their 2021 low set during the four-week period ending March 7, but have declined 3% from their 2021 peak hit during the four-week period ending August 8.
• 47% of homes that went under contract had an accepted offer within the first two weeks on the market, above the 43% rate of a year earlier, but down 9 percentage points from the 2021 peak set during the four-week period ending March 28.
• 34% of homes that went under contract had an accepted offer within one week of hitting the market, up from 31% during the same period a year earlier, but down 9 percentage points from the 2021 peak reached during the four-week period ending March 28.
• Homes that sold were on the market for a median of 19 days, up from the all-time low of 15 days seen in late June and July, and down from 33 days a year earlier.
• 50% of homes sold above list price, up from 33% a year earlier. This measure has been falling since the four-week period ending July 11, when it peaked at 55%.
• On average, 4.9% of homes for sale each week had a price drop, up 0.8 percentage points from the same time in 2020, and the highest level since the four-week period ending October 13, 2019.
• The average sale-to-list price ratio, which measures how close homes are selling to their asking prices, decreased to 101.4%. In other words, the average home sold for 1.4% above its asking price. This measure was down 0.9 percentage points from its peak hit during the four-week period ending July 11 and up 2.1 percentage points from a year earlier.

Other leading indicators of homebuying activity:

• Mortgage purchase applications decreased 0.2% week over week (seasonally adjusted) during the week ending September 3. For the week ending September 2, 30-year mortgage rates were flat at 2.87%.
• From January 1 to September 5, home tours were up 2%, compared to a 30% increase over the same period last year, according to home tour technology company ShowingTime.
• The Redfin Homebuyer Demand Index was up 19% from a year earlier during the week ending September 5, but dipped slightly from the previous week.

To view the full report, including charts and methodology, please visit: https://www.redfin.com/news/housing-market-update-new-listings-fall/

About Redfin
Redfin (www.redfin.com) is a technology-powered real estate company. We help people find a place to live with brokerage, instant home-buying (iBuying), rentals, lending, title insurance, and renovations services. We sell homes for more money and charge half the fee. We also run the country's #1 real-estate brokerage site. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Customers selling a home can take an instant cash offer from Redfin or have our renovations crew fix up their home to sell for top dollar. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we've saved customers more than $1 billion in commissions. We serve more than 100 markets across the U.S. and Canada and employ over 6,000 people.

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 original content to download multimedia:https://www.prnewswire.com/news-releases/redfin-reports-pending-sales-still-up-6-from-2020-301372256.html

SOURCE Redfin

FAQ

What does Redfin's recent report say about home sales in 2021?

Redfin's report indicates pending sales were up 6% year-over-year, with competition softening.

What is the median home sale price reported by Redfin?

The median home sale price reached $358,250, reflecting a 14% increase from last year.

How did new listings trend according to Redfin's report?

New listings of homes decreased by 7% compared to the same time last year.

What percentage of homes sold above the list price in August 2021?

50% of homes sold above their list price, marking an increase from 33% a year earlier.

How did mortgage applications change according to Redfin's report?

Mortgage purchase applications decreased by 0.2% week-over-week.