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"US Housing Market Transition: Inventory Surge, Cautious Buyers and Sellers"
The US housing industry in the past 48 hours reflects a market in transition, characterized by increased inventory, modest price growth, and both buyers and sellers exercising caution. Latest data shows housing inventory has surged nearly 25 percent from this time last year, marking a post-pandemic high, yet overall sales remain stagnant due to persistent high mortgage rates and elevated prices. The National Association of Realtors reported a 2 percent rise in existing home sales from June to July, with the median price edging up to 422,400 dollars—just 0.2 percent above last year—making this the 25th consecutive month of slight year-over-year price gains.
However, market activity remains uneven. Sellers who do not feel price pressure are increasingly pulling listings rather than reducing prices; for every 100 homes listed in June, 21 were delisted, up sharply from 13 last year. In Miami, the trend is especially pronounced, where 59 homes were delisted for every 100 new listings last month, and fewer than 18 percent saw a price reduction. Sellers often prefer to wait, expecting that sustained high valuations may eventually justify their asking price.
Builders are scaling back new construction due to rising financing costs, softer buyer demand, and increased material costs from tariffs. Larger homebuilders and industry leaders are reacting by pausing or delaying projects to avoid excess inventory as the market cools. Consumer behavior shows buyers remain cautious; affordability is slowly improving as wage growth now outpaces home price increases, and buyers in some regions are getting slightly more options. Nonetheless, many prospective homebuyers continue to hold back, deterred by mortgage rates that remain stubbornly high, averaging around 6.5 percent for a 30-year fixed mortgage.
Experts anticipate that a potential Federal Reserve rate cut in September could spur activity, but most forecasts for 2025 predict only modest national price increases of 1.5 to 2 percent, a significant slowdown from the rapid gains of recent years. Compared to prior months, supply is up, activity is stable or down, and sellers are more strategic, waiting for either lower rates or stronger offers before committing. Overall, the industry is at an inflection point as it awaits clearer signals on rates, inflation, and buyer confidence.
For great deals today, check out https://amzn.to/44ci4hQ
However, market activity remains uneven. Sellers who do not feel price pressure are increasingly pulling listings rather than reducing prices; for every 100 homes listed in June, 21 were delisted, up sharply from 13 last year. In Miami, the trend is especially pronounced, where 59 homes were delisted for every 100 new listings last month, and fewer than 18 percent saw a price reduction. Sellers often prefer to wait, expecting that sustained high valuations may eventually justify their asking price.
Builders are scaling back new construction due to rising financing costs, softer buyer demand, and increased material costs from tariffs. Larger homebuilders and industry leaders are reacting by pausing or delaying projects to avoid excess inventory as the market cools. Consumer behavior shows buyers remain cautious; affordability is slowly improving as wage growth now outpaces home price increases, and buyers in some regions are getting slightly more options. Nonetheless, many prospective homebuyers continue to hold back, deterred by mortgage rates that remain stubbornly high, averaging around 6.5 percent for a 30-year fixed mortgage.
Experts anticipate that a potential Federal Reserve rate cut in September could spur activity, but most forecasts for 2025 predict only modest national price increases of 1.5 to 2 percent, a significant slowdown from the rapid gains of recent years. Compared to prior months, supply is up, activity is stable or down, and sellers are more strategic, waiting for either lower rates or stronger offers before committing. Overall, the industry is at an inflection point as it awaits clearer signals on rates, inflation, and buyer confidence.
For great deals today, check out https://amzn.to/44ci4hQ
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By Quiet. PleaseThe US housing industry in the past 48 hours reflects a market in transition, characterized by increased inventory, modest price growth, and both buyers and sellers exercising caution. Latest data shows housing inventory has surged nearly 25 percent from this time last year, marking a post-pandemic high, yet overall sales remain stagnant due to persistent high mortgage rates and elevated prices. The National Association of Realtors reported a 2 percent rise in existing home sales from June to July, with the median price edging up to 422,400 dollars—just 0.2 percent above last year—making this the 25th consecutive month of slight year-over-year price gains.
However, market activity remains uneven. Sellers who do not feel price pressure are increasingly pulling listings rather than reducing prices; for every 100 homes listed in June, 21 were delisted, up sharply from 13 last year. In Miami, the trend is especially pronounced, where 59 homes were delisted for every 100 new listings last month, and fewer than 18 percent saw a price reduction. Sellers often prefer to wait, expecting that sustained high valuations may eventually justify their asking price.
Builders are scaling back new construction due to rising financing costs, softer buyer demand, and increased material costs from tariffs. Larger homebuilders and industry leaders are reacting by pausing or delaying projects to avoid excess inventory as the market cools. Consumer behavior shows buyers remain cautious; affordability is slowly improving as wage growth now outpaces home price increases, and buyers in some regions are getting slightly more options. Nonetheless, many prospective homebuyers continue to hold back, deterred by mortgage rates that remain stubbornly high, averaging around 6.5 percent for a 30-year fixed mortgage.
Experts anticipate that a potential Federal Reserve rate cut in September could spur activity, but most forecasts for 2025 predict only modest national price increases of 1.5 to 2 percent, a significant slowdown from the rapid gains of recent years. Compared to prior months, supply is up, activity is stable or down, and sellers are more strategic, waiting for either lower rates or stronger offers before committing. Overall, the industry is at an inflection point as it awaits clearer signals on rates, inflation, and buyer confidence.
For great deals today, check out https://amzn.to/44ci4hQ
However, market activity remains uneven. Sellers who do not feel price pressure are increasingly pulling listings rather than reducing prices; for every 100 homes listed in June, 21 were delisted, up sharply from 13 last year. In Miami, the trend is especially pronounced, where 59 homes were delisted for every 100 new listings last month, and fewer than 18 percent saw a price reduction. Sellers often prefer to wait, expecting that sustained high valuations may eventually justify their asking price.
Builders are scaling back new construction due to rising financing costs, softer buyer demand, and increased material costs from tariffs. Larger homebuilders and industry leaders are reacting by pausing or delaying projects to avoid excess inventory as the market cools. Consumer behavior shows buyers remain cautious; affordability is slowly improving as wage growth now outpaces home price increases, and buyers in some regions are getting slightly more options. Nonetheless, many prospective homebuyers continue to hold back, deterred by mortgage rates that remain stubbornly high, averaging around 6.5 percent for a 30-year fixed mortgage.
Experts anticipate that a potential Federal Reserve rate cut in September could spur activity, but most forecasts for 2025 predict only modest national price increases of 1.5 to 2 percent, a significant slowdown from the rapid gains of recent years. Compared to prior months, supply is up, activity is stable or down, and sellers are more strategic, waiting for either lower rates or stronger offers before committing. Overall, the industry is at an inflection point as it awaits clearer signals on rates, inflation, and buyer confidence.
For great deals today, check out https://amzn.to/44ci4hQ