In This Housing Market, Who Needs a For-Sale Sign?
Number of the Day: The most relevant or interesting figure in personal finance
That’s how many of last week’s pending home sales hadn’t been on the market more than a week before they were snatched up, according to the latest analysis from real estate company Redfin.
Indeed, there’s hardly time to put up a for-sale sign, the Redfin data shows. The 48% is the biggest share of pending home sales to go under contract within a week in at least the six years that Redfin has been keeping track.
The blistering speed of sales has helped fuel rising prices, with homes now selling for a median price of $330,250—an all time high—and for the first time ever, at an average of 100% the asking price, Redfin said Friday. The statistics are further proof that the recent uptick in mortgage rates—which hit record lows this winter, helping to fuel the pandemic housing boom—isn’t deterring buyers.
“Some people are willing to do whatever it takes to win a bidding war to the point they may be overpaying,” said Redfin Chief Economist Daryl Fairweather in a press release. “Still, I wouldn’t call this a housing bubble because the demand for homes is truly there and the buyers can afford these high prices. Bubbles burst; I don’t see that happening.”