Matthew Speakman on what’s driving homebuyer demand

Zillow Economist Speakman explains what Zillow’s recent report on homebuyer demand tell us about the current state of the housing market.

Record low mortgage rates hold steady at 2.72%

This is the second week in a row rates have sat at the lowest recorded level in the survey’s near 50-year history.

What Yellen as Treasury Secretary would mean for housing

Experts weigh in on former Fed Chair’s possible impact on GSE reform and how she could jumpstart the economy.

Building the one-touch digital mortgage

As Katherine Campbell drives toward a one-touch mortgage, she’s taking time to share what she has learned along the way.

Real EstateMagazine

In August, over half of Redfin offers faced bidding wars

Salt Lake City, Phoenix and Austin are seeing stiff competition

For the fourth consecutive month, over half of home offers from Redfin faced a bidding war.

Across the U.S., 54.5% of Redfin home offers faced competition in August, ticking down slightly from July’s 57.3%.

To break it down further, the competition remained fierce in coastal areas. This includes San Diego, which saw 64.5% in bidding wars, and San Francisco and San Jose – which both had 65.2% in bidding wars, Redfin said.

“The pandemic-driven trend of people moving away from densely packed cities toward more affordable and spacious regions means homes in places like Sacramento and Phoenix are becoming nearly as competitive as the Bay Area,” Redfin Chief Economist Daryl Fairweather said in a statement.

Affordable metros located more inland also saw intense bids.

Low mortgage rates are motivating homebuyers who are thinking of moving to go through with it,” Fairweather said. “I expect competition to continue picking up in more affordable parts of the country.”

For example, Salt Lake City sits at the top of the list yet again, as 65.2% of offers saw a bidding war, as well as Sacramento (57.8%), Phoenix (56.5%) and Austin, Texas (58.2%).

Offers on single-family homes were most likely to be involved in a bidding war, at 56.6% of offers, followed by townhomes at 54.7% and condos at 41.3%.

Homes priced between $600,000 and $800,000 were the most competitive in August – 58.4% of homes in this price range were in bidding wars, while 58.2% of homes priced between $1 million and $1.5 million engaged in bidding wars, and 44.7% of homes priced above $1.5 million did the same.

Leave a comment

3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please