A new year brings new optimism… and worries, say Redfin’s home-selling clients. For the latest Redfin Real-Time Seller Survey, we polled 466 homeowners across 22 major metro areas in the U.S. After falling sharply in the fourth quarter, the number of respondents who believe now is a good time to sell rose four percentage points, suggesting that home sellers are feeling slightly more confident in the market.
Nevertheless, our survey data suggests that sellers are increasingly anxious that homebuyers will struggle to qualify for a mortgage, thus limiting demand for their home. This quarter, the number of respondents who named “buyer financing trouble” as a top concern rose five points. These concerns likely reflect higher prices and mortgage rates, which have harmed affordability, and stricter lending regulations that went into effect in January and could impact some buyers’ ability to get a loan.
At the same time, sellers fret about their prospects for buying their next home once they do sell. With home inventory at the lowest point in at least four years, they know they will likely have to compete aggressively for their next home. Moreover, sellers wonder if rising mortgage rates will impact their own ability to buy the home they want.
“Most of my home-selling clients worry the most about what will happen after they sell,” says Redfin agent Paul Stone in Denver. “With so much competition in the market, they fear they will have to move in with their in-laws if they can’t find their next home quickly.”
Senior Director, Coldwell Banker New Homes Division
With over 200 condominium, townhome and loft projects successfully marketed
“Fewer properties for sale with such remarkably low interest rates make it a great time to sell but a more difficult time to buy”