Sellers are losing housing market control, although they still hold an advantage in many areas with tight inventories.
A new survey from Redfin found that 72 percent of real estate agents surveyed in the third quarter said that now is “a good time to sell,” down from 86 percent in the second quarter.
Meanwhile, 55 percent said it is “a good time to buy,” up from 46 percent in the first quarter.
Only 5 percent expected home prices to “rise a lot,” down from 44 percent in the first quarter.
“At the end of this summer, you could smell the rubber on the road from buyers hitting the breaks,” said Redfin San Diego agent Sara Fischer. “The cutthroat competition and frenzied demand has relaxed considerably.”
Redfin real estate agents also:
- See challenges for both buyers and sellers: Agents believe that limited inventory (87%) and bidding wars (79%) remain the biggest challenges for buyers.
- Report that sellers, too, are facing challenges; 62% say that sellers have unrealistic expectations about the value of their home and 30% say that sellers are having difficulties getting their home to appraise for the contract purchase amount.
- Expect more modest price gains: 68% of agents believe home prices will rise in the coming months, versus 97% in the first quarter.
- Notice less competition: 56% of agents believe the market over the last three months has become less competitive. Only 22% believe it has become more competitive.