Latest news with #ElijahdelaCampa
USA Today
29-05-2025
- Business
- USA Today
Mortgage rates keep rising. Home sales keep slowing.
Mortgage rates keep rising. Home sales keep slowing. Show Caption Hide Caption Social Security uncertainty and policy changes are driving more people to file With a significant rise in Social Security applications, retirees face financial decisions influenced by legislation and economic concerns in today's climate. Scripps News Rates for home loans pressed higher for the third week in a row amid evidence that seesawing financial markets are stifling the housing market. In the week ending May 29, 30-year fixed-rate mortgages averaged 6.89%, Freddie Mac announced, up from 6.86% last week. Those figures don't include fees or points, and rates in some parts of the country may be higher or lower than the national average. 'Mortgage rates increased for the third straight week, pushed higher by continuing volatility in the financial markets," said Mortgage Bankers Association President and CEO Bob Broeksmit, in a release. "These higher mortgage rates dampened borrower demand, with both refinance and purchase applications posting declines last week." So far this year, the most popular mortgage product has moved in the high-6% range, and the housing market has moved sideways. Sales of previously-owned homes fell in January, rose in February, and sank in March. But early signals that the spring selling season would be a dud have turned out to be correct. April sales were at the slowest pace for any April since 2009, the National Association of Realtors said on May 22. The 4 million pace set for sales last month was below the 4.06 million mark achieved in 2024, which was the worst year since 1995. And things are getting worse: home contract signings fell 6.3% in April, the Realtors said on May 29. That means sales in May and June will likely be much lower, as well, since contracts are signed about six weeks before sales close. One silver lining is that the deep freeze caused by 'mortgage rate lock' – in which homeowners with ultra-low rates hold off on listing their homes given concerns about having to take out a new, higher-rate loan – has thawed more quickly than many observers had expected. More: Is it finally a buyer's housing market? What to know about home prices, rate 'lock-in' But sellers may still have unrealistic expectations about what their homes will fetch on the market. The typical home for sale is listed for a record high $469,729, which is 9% more than the typical home is selling for, $431,057, according to a recent Redfin analysis. 'Homebuyers today have the upper hand because they're outnumbered by sellers,' said Redfin Senior Economist Elijah de la Campa, in a release.
CNBC
04-05-2025
- Business
- CNBC
13 major U.S. cities where owning a home requires twice the income needed to rent
In some U.S. cities, it now takes more than twice the income to afford a median-priced home than to afford a median-priced apartment — and the gap keeps growing. Nationwide, a recent Redfin analysis finds that U.S. homebuyers must earn $116,633 to afford such a home — 82% more than the income needed to cover the cost of a median-priced rental. The figures are based on the standard assumption that housing costs shouldn't exceed 30% of gross income, a common affordability benchmark. The estimates reflect national and metro-level data for the three months ending in February 2025, comparing median home sale prices with median asking rents for newly listed apartments in buildings with five or more units. Homeownership calculations assume a 30-year fixed-rate mortgage with a 15% down payment and a 6.84% interest rate, and also factor in insurance and property taxes. Since 2021, the income needed to afford a home has climbed at a much faster pace than what's needed to rent — with the gap between the two more than quadrupling. That's largely due to soaring home prices and high mortgage rates, while rent growth has mostly stalled. "It has become increasingly challenging for American renters to make the shift to homeownership thanks to the triple whammy of rising home prices, high mortgage rates and a shortage of houses for sale," writes Redfin senior economist Elijah de la Campa. For buyers, demand has far outpaced supply in recent years, as a pandemic-era slowdown in construction worsened an already tight housing market. With too few homes available to buyers, prices surged 43% from 2020 to 2025, per Redfin's data. For rentals, prices have remained flat over the past two years, driven by a wave of new apartment construction that has boosted supply, according to Redfin. In 13 of the 42 largest U.S. metro areas, the income required to afford a median-priced home is now more than double what's needed to rent a median-priced apartment. Big cities tend to have higher home costs because they attract people for jobs and opportunity, driving up demand and pushing home prices higher — especially when supply is limited. Here are the metros with the widest income gaps between what's required to buy and rent: The steepest disparity is in San Jose, where buyers need to earn $408,557 annually — more than three times the income required to rent. The smallest gap is in Pittsburgh, where buyers need to earn just $66,350 to afford a home — only 14.4% more than what's required to rent.
Business Insider
02-05-2025
- Business
- Business Insider
10 cities where eager home sellers are handing out concessions like cash to sweeten deals for buyers
Americans are feeling pretty down in the dumps about the economy as recession fears grow. But one group's prospects may actually be on the mend: homebuyers. If you're on the hunt for a house, you may be in luck as the real-estate market slowly starts to tilt in favor of buyers, according to Redfin. The biggest sign? Home sellers are giving concessions to buyers. Across the nation, 44.4% of home sales included a concession in Q1 of 2025, up from 39.3% a year earlier. Sellers are throwing in the kitchen sink — literally. Concessions come in many forms and are used by sellers to sweeten a deal and encourage buyers to close the transaction faster. For example, sellers may offer to cover closing costs, pay for home repairs or appliances, buy down the mortgage rate, or pay for other miscellaneous fees. Homeowners who are putting their houses on the market are quickly realizing they need to resort to concessions or even straight-up price reductions to seal the deal. Many sellers bought their homes in 2021 and 2022 when home values were at record highs, so they're eager to ask for a high price to make back their money, Redfin real estate agents said. Unfortunately for sellers, buyers simply aren't having it. According to Redfin, the median asking price for a house is $469,729, but the median sale price is 9% lower at $431,057 — meaning that sellers are being forced to temper their expectations and lower their prices. "There's a growing disconnect between what sellers think they can get for their homes and the direction the market is actually moving," said Redfin Senior Economist Elijah de la Campa. Buyers are gaining the upper hand There are a lot more sellers than buyers in the housing market, and buyers are hesitant to pull the trigger on a big transaction during a time of increased economic uncertainty. Elevated mortgage rates and expensive home prices are further discouraging buyers. "When buyers and sellers are on different planets, one side eventually has to give in, and it's looking like it's going to be sellers this time," De la Campa said. "Rising inventory, price drops and seller concessions indicate this is already starting to happen, and sale-price growth will likely continue to slow as a result." Buyers should take advantage of this dynamic, Chaley McVay, a Redfin real estate agent in Portland, Oregon, recommends. "If you're a buyer and you find a home you like that's a bit above your price range, I encourage you to get the conversation started and make an offer anyway. A lot of house hunters are hesitant to offer under the asking price, but in this market, it's not out of the ordinary to see sellers lower their prices and give concessions." Listed below are the top 10 US metro areas where sellers gave concessions in Q1 2025, along with the percentage of home sales with concessions for each city.
Yahoo
01-05-2025
- Business
- Yahoo
There's a widening gap between home listing and sale prices. What that means for would-be buyers
Sellers increasingly want more for their houses than buyers are willing to pay. That's according to a new analysis from Redfin, the nation's largest brokerage website that found the typical list price for homes in the United States reached a record $469,729 in March, but the typical price for those sold that month was nearly $39,000 less. It's the biggest such gap since the early days of the COVID-19 pandemic buying frenzy that drove up housing prices. The gap is widening because list prices are heading up more than twice as fast as sale prices. March's median list price is 6.2% higher year over year, the largest increase since September 2022, Redfin reported. At the same time, the $431,057 median sale price rose just 2.5%, the smallest increase since September 2023. The metro areas that saw the biggest gaps are West Palm Beach, Florida, where the median list price shot up 9.3% to $535,500 but the median sale price fell 0.3% to $508,500; followed by Pittsburgh, Cincinnati, Atlanta, and Jacksonville, Fla. The analysis looked at the nation's 50 most populous metro areas, a list that does not include Utah. Unlike the pandemic-era housing market that sparked bidding wars, growth in sale prices is slowing. Still, Redfin said sellers are continuing to price their properties high based on past sale prices of comparable homes. 'Homebuyers today have the upper hand because they're outnumbered by sellers, and that's a tough pill for sellers to swallow,' Redfin senior economist Elijah de la Campa said, adding that 'buyers and sellers are on different planets' right now. 'One side eventually has to give in, and it's looking like it's going to be sellers this time,' he said. 'Rising inventory, price drops and seller concessions indicate this is already starting to happen, and sale-price growth will likely continue to slow as a result.' Would-be buyers have also told pollsters they're more hesitant to make big purchases now due to the financial uncertainty resulting from President Donald Trump's tariff and immigration policies that have roiled financial markets around the world. In Utah, the spring housing market is being described as "weird," with some shoppers waiting to see if home prices are going to start dropping as the stock market has done repeatedly recently, despite a jump in housing inventory. So far, it doesn't feel like a buyers market to Sugarhouse real estate agent Max Strayer. 'We're just in this weird place where pricing is of the utmost importance. So if you had a great house in a great area that's priced appropriately, that's going to fly,' Strayer said, adding that sellers who try to 'push it on price' may end up having to do a reduction to attract buyers. 'Pricing is extremely important,' he said. 'I would not try and push the market right now.' Redfin data for the Salt Lake area showed a median list price of $550,000 for March, while the median sale price was $515,000, a $35,000 gap. In March 2024, the median list price was slightly lower, at $547,350, and median sale price, slightly higher, at $520,000. Sign in to access your portfolio
Yahoo
17-04-2025
- Business
- Yahoo
Redfin Reports U.S. Homes Are Selling at the Slowest Pace in 6 Years
Homes are taking longer to sell because many are overpriced and demand is sluggish. Plus, sellers are competing with each other—the supply of homes for sale hit a five-year high in March. SEATTLE, April 17, 2025--(BUSINESS WIRE)--(NASDAQ: RDFN) — The typical U.S. home that went under contract in March was on the market for 47 days—the longest period for any March since 2019. That's according to a new report from Redfin ( the technology-powered real estate brokerage. By comparison, the typical home was selling in under half that time during the peak of the pandemic homebuying frenzy. March marked five years since the coronavirus was declared a pandemic, and many U.S. housing metrics are returning to the levels seen just before or during the early days of the pandemic—when the housing market was moving slowly. Roughly one-quarter (27%) of homes sold for over their list price last month—the lowest March share since 2020. Homes are taking longer to sell and attracting less homebuyer competition because supply is climbing, demand is sluggish and some properties are overpriced. Meanwhile, demand is sluggish because economic uncertainty and high homebuying costs are giving house hunters pause. The good news for buyers is that because supply is climbing, price growth is slowing. Home Prices Are Increasing at the Slowest Pace in a Year and a Half The median home-sale price in March was $431,057, up 2.5% from a year earlier. That's the slowest growth since September 2023. When supply is on the rise, sellers lose negotiating power because buyers have more options to choose from. Still, many sellers are trying to fetch high prices. List prices have been growing faster than sale prices, and Redfin agents report that sellers are overpricing their homes, causing them to sit on the market. "There's a growing disconnect between what sellers think they can get for their homes and the direction the market is actually moving," said Redfin Senior Economist Elijah de la Campa. "Tariff fears and widespread economic uncertainty are making homebuyers nervous, so if sellers don't lower their price expectations, home sales may slow in the coming months." The typical home that sold in March sold for roughly 1% less than its list price. The Supply of Homes for Sale Is at a Five-Year High Active listings—the total number of homes for sale—hit the highest level in five years in March. They climbed 0.1% month over month on a seasonally adjusted basis and 14.1% year over year. New listings hit the highest level since July 2022, rising 0.7% month over month on a seasonally adjusted basis and 6% year over year. Alicia Grifaldo, a Redfin Premier real estate agent in Houston, said she has a lot more listing consults than buyers right now. "Many people who bought homes in 2021 and 2022 are selling now, some of them because they can't afford their property taxes and insurance payments. Because they bought at the peak of the market, they're overpricing their homes to try to recoup their investment," she said. "Sellers are competing with one another, and buyers are sparse, so pricing your listing reasonably is everything right now." It's worth noting that new listings are up more than average in both Los Angeles (+23.5% Y/Y—the biggest increase in the country) and Washington, D.C. (+15.8%). In Los Angeles, listings could be rising because homeowners are putting their properties on the market to meet demand from families displaced by the January wildfires. And in D.C., the rise in listings could be related to the fact that so many federal workers are being laid off. Home Sales Are Steady, But Below Pre-Pandemic Levels Pending home sales rose 1.7% month over month in March—the biggest gain in six months on a seasonally adjusted basis—and were little changed from a year earlier (-0.01%). Closed home sales fell roughly 1% from both a month and a year earlier. Existing home sales (closed sales of non-newly-built homes) fell 1.3% month over month and 0.4% year over year to a seasonally adjusted annual rate of 4.15 million—the lowest level in six months. Closed sales are a lagging indicator because they reflect purchases that, while finalized in March, went under contract (AKA pending) during the several months leading up to March. All three sales metrics—pending sales, closed sales and existing-home sales—are below pre-pandemic levels. Elevated mortgage rates are one reason sales are sluggish. The average 30-year-fixed mortgage rate was 6.65% in March—the lowest level since October but still more than double the record low hit during the pandemic. March 2025 Housing Market Highlights: United States March 2025 Month-over-month change Year-over-year change Median sale price $431,057 1.5% 2.5% Existing home sales, seasonally adjusted annual rate 4,152,091 -1.3% -0.4% Pending home sales, seasonally adjusted 486,263 1.7% 0% Homes sold, seasonally adjusted 421,018 -0.9% -1.3% New listings, seasonally adjusted 563,684 0.7% 6% Total homes for sale, seasonally adjusted (active listings) 1,870,505 0.1% 14.1% Months of supply 3.1 -0.6 0.5 Median days on market 47 -9 6 Share of homes that went off market in two weeks 41% 5.8 ppts -3.3 ppts Share of homes that sold above final list price 27% 2.3 ppts -2.9 ppts Average sale-to-final-list-price ratio 98.8% 0.4 ppts -0.4 ppts Pending sales that fell out of contract, as % of overall pending sales 13.4% 0.1 ppts 0.2 ppts Monthly average 30-year fixed mortgage rate 6.65% -0.19 ppts -0.17 ppts Metro-Level Highlights: March 2025 Prices: Median sale prices rose most from a year earlier in Cleveland (11.8%), Nassau County, NY (9.8%) and Newark, NJ (9.5%). They fell in eight metros, most of which are in Florida and Texas, where rising supply and soaring insurance costs have fueled a housing slowdown. The biggest declines were in Jacksonville (-3.8%), San Francisco (-2.6%) and Austin (-1.6%). Pending home sales: Pending sales rose most in Montgomery County, PA (13.7%), Denver (6.9%) and Sacramento, CA (5.7%). They fell most in Fort Lauderdale (-15.2%), Miami (-14.8%) and Newark (-9.6%). Closed home sales: Home sales rose most in San Francisco (13%), Oakland, CA (11.7%) and New York (5.3%). They fell most in San Antonio (-16.2%), Warren, MI (-11.5%) and Jacksonville (-10.1%). New listings: New listings rose most in Los Angeles (23.5%), Boston (23.4%) and Anaheim, CA (23.3%). They fell in four metros: San Antonio (-7.3%), Kansas City, MO (-5.3%), Milwaukee (-1.8%) and Jacksonville (-0.2%). Active listings: Active listings rose most in Oakland (38.4%), Denver (37.7%) and Las Vegas (32%). They fell in three metros, all of which are in the Midwest: Kansas City (-2.5%), Detroit (-1.5%) and Milwaukee (-0.9%). Sold above list price: In San Jose, 71.2% of homes sold above their final list price, the highest share among the metros Redfin analyzed. Next came Newark (62.5%) and San Francisco (61.5%). The lowest shares were in Florida: West Palm Beach (7.2%), Fort Lauderdale (8.4%) and Miami (8.5%). Days on market: In Fort Lauderdale, the typical home that went under contract did so in 88 days, up 24 days from a year earlier—the biggest increase among the metros Redfin analyzed. Next came Miami (+19 days) and West Palm Beach (+19 days). San Francisco was the only metro that saw a decrease (-1 day Y/Y). Days on market was unchanged in Nassau County, New York and Boston. To view the full report, including charts, full metro-level data and methodology, please visit: About Redfin Redfin ( is a technology-powered real estate company. We help people find a place to live with brokerage, rentals, lending, and title insurance services. We run the country's #1 real estate brokerage site. Our customers can save thousands in fees while working with a top agent. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we've saved customers more than $1.8 billion in commissions. We serve approximately 100 markets across the U.S. and Canada and employ over 4,000 people. Redfin's subsidiaries and affiliated brands include: Bay Equity Home Loans®, Rent.™, Apartment Guide®, Title Forward® and WalkScore®. For more information or to contact a local Redfin real estate agent, visit To learn about housing market trends and download data, visit the Redfin Data Center. To be added to Redfin's press release distribution list, email press@ To view Redfin's press center, click here. View source version on Contacts Contact RedfinRedfin Journalist Services:Ally Forsell, 206-588-6863press@ Sign in to access your portfolio
