Happy Friday!
Average Mortgage Rates as of 10/15:
- 30 Yr. Fixed: 7.40%
- 15 Yr. Fixed: 7.04%
- 30 Yr. Jumbo: 7.67%
- 30 Yr. FHA: 6.99%
Home Sellers Outnumber Buyers by 63%
Redfin reports sellers outnumbered buyers nationally by nearly 63% in September—the widest gap since tracking began in 2013. Of the 50 major metros analyzed, 41 were classified as buyer’s markets, including Seattle, where sellers outnumbered buyers by 84.1%.
Buyer Leverage Is Rising Fast: Seattle also posted the largest year-over-year drop in pending home sales among those 50 metros in September, down 24.4%. With fewer homes going under contract, buyers may have more negotiating room as sellers compete for offers.
Mortgage Rates Offer Welcome Relief Rates reached a three-week low Thursday before ticking slightly higher Friday. Even with that small bump, rates finished the week noticeably lower, giving buyers a little more breathing room on monthly payments. Too early to call it a lasting trend, but an encouraging silver lining after the recent climb.
My Takeaway This week’s relief in interest rates is hopeful. For the most part, I haven’t seen a major pullback in active buyers, despite what the media is saying. My thought is many recognize the opportunity and the level of help available to those staying in the market and getting into contract—whether through rate buydowns, seller concessions, closing cost assistance, or list price reductions. It’s still neighborhood-specific, but the majority, if not all, of the transactions I’ve worked on over the last few weeks and months have included some form of help for the buyer.
STAY POSITIVE, have a great weekend, and let me know if I can help with anything!
-Luke
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