Some 58.9 percent of home offers written by Redfin agents faced competition in September—a record low for 2021. An offer is considered part of a bidding war if a Redfin agent reported that it faced at least one competing bid.
In August, Redfin agents reported 60.8 percent of offers had competition, down significantly from 2021’s peak of 74.3 percent in April.
“It’s typical to see a decline in competition as families head back to school and the weather cools down,” said Redfin Deputy Chief Economist Taylor Marr. “Buyers also aren’t having to offer as much above the asking price as they were in the spring, when competition in the housing market was peaking. As mortgage rates continue to rise, we can expect bidding wars to keep slowing.”
Here in California, Sacramento and San Diego had the largest percentage of competitive offers in September, according to Redfin’s tracking of major metro areas. In Sacramento, 70.5 percent of offers faced competition—up from 64.8 percent in August, while San Diego saw 70.3 parent of offers facing competition—up from 68.7 percent the month prior.
San Francisco and Los Angeles both saw competitive offers decrease in September, at 69.4 percent and 60.1 percent, respectively.