“House hunters are sensitive to rates and prices; many are waiting for one or both to drop before buying,” said W.J. Eulberg, a Redfin Premier agent in Milwaukee.
“But that’s not always a great strategy. If mortgage rates come down significantly, there will be more bidding wars. And if prices drop, it will probably be because the economy has weakened and people are losing their jobs. For people who can afford a home now, they may consider jumping into the market while competition is low and many sellers are willing to negotiate on price or offer concessions like funds to cover closing costs,” Eulberg said.
The weekly average 30-year fixed mortgage rate ticked up to 6.22% then 6.24% this week after briefly touching a year-low of 6.17%. The median home-sale price rose 2.4% year over year to $393,700, the largest jump in six months.
Meanwhile, the median monthly mortgage payment fell to $2,495, its lowest level since the start of the year, as some buyers found relief in slightly lower rates.
Sellers remain active but face longer waits
On the supply side, new listings climbed 3.4% year-over-year (81,265), with active listings up 6.3% (1,189,896).