Despite rising rates, the housing market remains hot and that is evident in a new report from Redfin looking at bidding-wars. (Redfin)
Nationwide, 60.9% of home offers written by Redfin agents faced bidding wars in February, up slightly from a revised rate of 59.3% in January. That represents the 10th-straight month in which more than half of Redfin offers encountered competition.
This morning, Freddie Mac reported that mortgage rates have moved up for the 6th straight week and are up 50 basis points from the all-time low. This should cool things a little, but the spring buying season is already upon us. The only way to really slow things down is to increase the housing supply. Basic economics would say that current home prices hitting record levels month after month would entice homeowners to sell. Guess we’ll find out if this true soon enough.