Real Estate Market Slowed for Fourth Consecutive Month in August The speed at which homes sold declined for the fourth straight month in August, according to Redfin’s Fastest Markets Report for August 2013. In August, 27.9 percent of homes went under contract in less than two weeks, down from 29 percent in July and 33.7 percent in April.
As Redfin’s latest Bidding War Report shows, the competitive landscape in the housing market has changed drastically since spring, due to elevated home prices and mortgage rates. This has led many buyers to slow or pause their buying plans over the past four months. San Jose, Calif., remains the faste t-moving market in August, with 43.6 percent of listings under contract within two weeks despite slowing slightly from 46.1 percent in July. Across 23 markets, San Jose has been the fastest every single month since December 2011. San Diego, Calif., slowed the most from July to August. In San Diego, the rate of homes going under contract within two weeks slowed from
36.1 percent to 31.6 percent. Sacramento slowed the most in the year, dropping from 40 percent to
Despite the slowing trend throughout summer, market speed could see a
slight increase in September as some buyers react to reduced mortgage
rates. Although the rates have dropped only slightly, Redfin agents in
Seattle, Washington, D.C., and Los Angeles in recent days have
reported a boost in urgency among buyers to find a home.