'Concessions have made a comeback': In a cooling housing market, sellers pull out all the stops to lure buyers

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About 42% of homes sold in the fourth quarter were sold at a concession, according to a new report from Redfin.

Some home sellers are finally accepting the writing on the wall, and offering concessions to home buyers as demand remains weak in the housing market.

According to a new report from Redfin RDFN , approximately 42% of homes sold in the fourth quarter of 2022 came with concessions. In contrast, over the same period in 2021, only about 30% of homes sold came with deals. With the 30-year mortgage rate at 6.42%, buyers are finding it too expensive to afford a home. Sales of existing homes have plunged, falling for 10 months straight.

Concessions were an increasingly popular tactic among home sellers in pandemic boomtowns, which has seen demand wane. “Buyers are asking sellers for things that were unheard of during the past few years,” Van Welborn, a Redfin real-estate agent in Phoenix, said.

 

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here’s an idea. don’t sell right now. the federal reserve has clearly effed this up royale by injecting 2.5x the stimulus needed to jolt the economy. hold your house and sell after this monstrous cluster eff is over.

'pull out all the stops' would mean lowering prices. A lot.

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