Buyers are waiting for clarity as homes linger longer on the market
Pending home sales in the United States slipped 0.3% year-over-year to 75,287 units in the four weeks ending November 9, marking the first decline in four months, according to Redfin’s latest report.
The modest drop belies a market in flux, with buyers and sellers locked in a standoff over affordability and economic uncertainty.
Buyers hesitate as costs and uncertainty mount
Homes are now taking a median of 49 days to go under contract, the slowest pace for this time of year since 2019.
“House hunters are sensitive to rates and prices; many are waiting for one or both to drop before buying,” said W.J. Eulberg, a Redfin Premier agent in Milwaukee.
“But that’s not always a great strategy. If mortgage rates come down significantly, there will be more bidding wars. And if prices drop, it will probably be because the economy has weakened and people are losing their jobs. For people who can afford a home now, they may consider jumping into the market while competition is low and many sellers are willing to negotiate on price or offer concessions like funds to cover closing costs,” Eulberg said.
The weekly average 30-year fixed mortgage rate ticked up to 6.22% then 6.24% this week after briefly touching a year-low of 6.17%. The median home-sale price rose 2.4% year over year to $393,700, the largest jump in six months.
Meanwhile, the median monthly mortgage payment fell to $2,495, its lowest level since the start of the year, as some buyers found relief in slightly lower rates.
Sellers remain active but face longer waits
On the supply side, new listings climbed 3.4% year-over-year (81,265), with active listings up 6.3% (1,189,896).
However, only 28.5% of homes went off the market within two weeks, down from 31% a year ago. The average sale-to-list price ratio slipped to 98.3%, and just 22.8% of homes sold above list price.
Regional shifts and broader context
Market dynamics varied across regions. Philadelphia and Detroit posted the largest year-over-year median sale price gains (9.8% and 9.7%, respectively), while Dallas and Jacksonville saw declines.
Pending sales surged in West Palm Beach (21.8%) and Cleveland (11.7%), but fell sharply in Seattle and San Jose.
Broader economic headwinds are weighing on sentiment. More than 20% of Americans have delayed a major purchase due to the government shutdown, and another 15% have canceled plans altogether, according to a recent Redfin survey.
Many buyers are holding out for mortgage rates to dip below 6% before re-entering the market.
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