In a Fannie Mae survey on homebuyer sentiment, a record 79% of respondents said it’s a bad time to buy a home.
But in May the inventory started moving in a different direction, according to Realtor.com’s data, and the most recent week saw active listings up 13% from last year. “But home prices are showing a lot of sticking power,” said Hale. “Price growth is going to slow, but I expect prices to stay high. If home sellers can’t get the price they want, they are likely to not put it on the market.”If you’ve been looking at homes you may be noticing something you haven’t seen in a long time: price cuts.
Demand for Redfin’s services in May was 17% below expectations, Redfin CEO Glenn Kelman said. As a result, the company isn’t generating enough work for agents and support staff. “Purchase applications were down compared to last year, as ongoing inventory shortages and affordability challenges have cooled demand, coinciding with the rapid jump in mortgage rates,” said Joel Kan, MBA’s associate vice president of economic and industry forecasting.