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Key Findings
REALTOR® optimism about sellers joining the market gains steam.
The Market Outlook from the REALTORS® Confidence Index for sellers increased to the highest level since December 2021, and the buyer outlook is the highest since February 2024.
- 28% of respondents expect a year-over-year increase in buyer traffic in the next three months, up slightly from 27% one month ago and from 26% one year ago.
- 30% of respondents expect a year-over-year increase in seller traffic in the next three months, up slightly from 29% one month ago and 26% one year ago.
With supply still limited relative to demand, 21% of homes sold above list price, flat from last month’s 21% and down from 29% a year ago:
- 57% of respondents reported that properties sold in less than one month. This is up from a month ago (50%) and down from 60% one year ago.
- Homes listed received an average of 2.4 offers, nearly flat from 2.3 last month and down from 3.1 one year ago.
- 26% of buyers had all-cash sales, down from 32% one month ago and from 28% one year ago.
- Due to the lack of housing inventory, the pace of the market, and the use of technology, 7% of buyers purchased a home based only on a virtual tour, showing, or open house without physically seeing the home. While unchanged from 6% one month ago, and 6% one year ago.
Contracts typically closed in 30 days, the same as last month and one year ago. But some faced delays or termination:
- 6% of contracts were terminated in the last three months, essentially flat from 5% one month ago and 5% one year ago.
- 13% of contracts had delayed settlements in the past three months, flat from 13% last month, but up from 10% one year ago.
- 6% of contracts were delayed due to appraisal issues, virtually unchanged from 7% one month ago and from 5% one year ago.
First-time buyers represented 32% of buyers, up slightly from 31% last month and unchanged from 32% one year ago. Among all buyers:
- 15% purchased for non-primary residence use, virtually flat from 16% last month and unchanged from 15% last year.
- 5% were purchased for vacation use, unchanged from 5% one month ago and 5% one year ago.
- 2% of sellers sold to an iBuyer, up slightly from under 1% one month ago and unchanged from 2% one year ago.
- 3% of sales were distressed, unchanged from 3% one month and up slightly from 2% a year ago.
Contract activity shows some signs of a slightly easier market for buyers:
- 22% of buyers waived the inspection contingency, down from 24% one month ago and unchanged from 22% one year ago.
- 19% of buyers waived the appraisal contingency, down from 24% one month ago and 25% one year ago.
Buyers continue to look outside of city centers for the majority of their activity at 85%.
