In June, 65 percent of home offers written by Redfin agents faced competition, down from 72.1 percent in May and a pandemic peak of 74.1 percent in April, according to a recent Redfin report. However, it was higher than the 56.8 percent bidding-war rate in June 2020.
The housing market has been losing steam in recent weeks, likely due in part to buyer fatigue, according to Redfin. New listings are up 4 percent year-over-year, which also might be making a difference, as there are more properties for buyers to bid on.
“The first half of this year was red hot; it was almost impossible to get an offer accepted. But recently, we’ve started to see buyers get cold feet,” Laura Sechrist Molenda, a Redfin real estate agent in southern California, said in a release. “Two of my buyers just had their offers accepted because the sellers’ first buyers backed out. The market is still competitive, but buyers are more trepidatious than they were at the start of 2021, and less willing to pull out every stop in order to win.”
Sarasota, Fla., had the highest bidding-war rate of the metro areas analyzed, with 87 percent of offers written by Redfin agents facing competition in June. Next came Charleston, S.C. (82.9 percent), Reno, Nev. (80 percent), Charlotte, N.C. (78.9 percent), and Kansas City, Mo. (78.6 percent).
“It’s still really competitive when there’s a lower-priced home in a very-sought after area,” Redfin agent Kristi Miller of Seattle said. “But bidding wars are starting to slow for mid- and higher-priced homes.”