When inventory is tight, you’ve gotta move fast! At least that seems to be the trend over the last few weeks, according to Redfin.
The company’s latest market update is giving our first glimpse into April sales and it appears the few homes that are on the market are getting snatched up in a matter of days.
For the four weeks ending April 30, 48 percent of homes sold went under contract within two weeks. That’s down from 51 percent a year earlier but up from 46 percent a month earlier.
“While a pause in Fed rate hikes doesn’t mean a significant drop in mortgage rates is coming, it does at least alleviate one layer of uncertainty in the housing market,” said Redfin Economics Research Lead Chen Zhao. “Unexpectedly bad inflation data, more banking turmoil or failure to raise the U.S. debt ceiling could throw a wrench in the Fed’s plans, but homebuyers and sellers can feel a little more confident that mortgage rates won’t skyrocket again.”
The total number of homes for sale has steadily declined over the last month, going against the typical spring inventory bump, per Redfin. Touring activity, however, as of May 3 was up 27.3 percent from the start of the year, compared with an 18.9 percent increase at the same time last year.