09-04-2025
More Metro Detroit homebuyers are canceling deals
Roughly 17% of pending home sales in Metro Detroit fell through in January, up from 14% a year earlier, according to Redfin data.
The big picture: More deals are being canceled nationally, Redfin reports.
Around 14% of pending U.S. home sales fell through in January, the highest share for this time of year since at least 2017.
Context: Homebuyers are backing out of deals for several reasons, including the shock of still-steep prices and mortgage rates, plus economic and political uncertainty, Redfin researchers say.
With inventory on the rise nationally, some buyers are also pivoting because they think a better house has (or might) come along.
Zoom in: Royal Oak-based Realtor Danny Dedic tells Axios that, as a rule, he typically plans for 10% of contracts to fall through due to run-of-the-mill financing problems, buyers' cold feet or unforeseen circumstances.
The jump to 17% this January is not overly concerning, he says, pointing out that January is generally a bad month for home sales.
Dedic is advising his clients to put their houses up for sale ASAP because the market should be fairly robust this spring and summer.
In January, the rate was as high as 7.26%.
Between the lines: Declining mortgage rates usually give homebuyers more purchasing power. Harnessing that power, however, will be difficult amid the tumult.
