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Is the seller’s market over?


If the pandemic has been good for anyone, it’s homeowners who have listed their properties as pent-up demand for homes has rocketed prices. But could this seller’s market finally be disappearing? Data suggests this may be the case.

a new report by Redfin surveys of more than 350 metropolitan areas across the country show that in the four weeks ending Sept. 5, half of homes sold exceeded asking price — down from a July peak of 55 percent. Homes don’t move that fast either: 47 percent sold during this period went into contract within two weeks, down from the March peak of 56 percent.

Bid wars are also worth keeping an eye on, according to Redfin. The report shows that multiple bids on a home in August were less common nationwide than in the previous month and a year ago. Of the Redfin brokers who submitted offers, 59 percent faced competition in August — the slowest month of 2021 for bidding wars — up from a peak of 74 percent in April and 60 percent in August 2020.

Where is the trend most visible? When looking at 48 major subways where Redfin brokers submitted at least 20 offers in both July and August this year, multiple bids were at the lowest level in Oklahoma City — 36 percent in August, down 60 percent in July and a comparable 60 percent a year earlier. Sarasota, Florida, and Richmond, Virginia, followed, as can be seen in this week’s chart.

But in other areas, the bidding wars were still strong last month. In Raleigh, NC, 87 percent of listings were competitive, up from 71 percent in July and 46 percent a year earlier. The San Francisco area followed suit, with about 71 percent of homes receiving multiple bids in August, up from about 68 percent in July.

This week’s chart, based on data from Redfin, shows the 10 metropolitan areas in the US with the highest share of bidding wars, and the 10 with the lowest, of the 48 areas surveyed. (Data from subways where Redfin agents received less than 20 bids in August 2020 is not shown.)

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