The hottest housing markets during the spring cooled off considerably during September when it comes to time listed on the market, according to an analysis by real estate brokerage Redfin.
Between March 5 and April 29, there were 14 metropolitan areas where 50 percent or more of the homes listed for sale went under contract within two weeks, Redfin’s analysis found. However, by mid-September, each of those markets saw its share of homes selling that quickly fall below 50 percent. Seattle and San Jose, California both saw their percentage of homes which sold within two weeks fall by more than 35 percentage points since spring and more than over 20 percent from a year earlier.
“Sellers in these markets are learning that they need to adjust their strategy. They aren't seeing the same level of interest from buyers that there was a year ago,” Redfin Chief Economist Daryl Fairweather said in a release. “As a result, sellers are having to wait longer for offers, and more sellers are dropping their list price to attract buyers.”
Redfin’s analysis did find some exceptions. Between 2017 and 2018, the percentage of homes selling within two weeks increased from 42 percent in to 47 percent rose in Omaha, Neb.; from 41 percent to 44 percent in Grand Rapids, Mich.; and from 27 percent to 36 percent in Boise, Idaho.
Redfin said those areas are all smaller cities away from the coasts, where homes are much more affordable.