Note: Year-over-year comparisons in this report are more a reflection of the fact that this time last year stay-at-home-orders halted both home-buying and selling activity than of how the housing market has changed over the past year.
“The housing market is more competitive than we’ve ever seen it, but a couple indicators are causing us to ask whether we’re nearing a peak in terms of how fast demand and prices can grow,” said Redfin Chief Economist Daryl Fairweather. “Sellers’ asking prices may be starting to flatten in what so far appears to follow a typical seasonal pattern. And the drop in mortgage purchase applications tells me that some buyers are dropping out due to the lack of affordable homes for sale. If these trends continue we can feel more assured that we are not in the midst of runaway home price speculation or a housing bubble.”
Refer to our metrics definition page for explanations of all the metrics used in this report.
