More Home Tours, Fewer Offers in March

The latest reading of the Redfin Housing Demand Index marked the second consecutive month of drooping demand, falling 6.5 percent month-over-month in March 2018 across the 15 metros measured.

The seasonally adjusted number of buyers requesting home tours grew 2.6 percent, while the share of buyers making offers decreased by 14.7 percent from February to March of this year. “Abnormally late winter weather and an early Easter likely delayed homeowners planning to list their homes for sale in March,” says Redfin chief economist Nela Richardson. “While inventory levels are still not nearly high enough to meet strong buyer demand, we do expect new listings to pick up in April and May.”

Across the 15 metros covered by the Demand Index, the number of homes for sale fell 13.6 percent year over year in March, the 34th consecutive month of falling supply. There were 7.3 percent fewer homes newly listed for sale last month than a year earlier. However, an early read of inventory in the first half of April suggests that the number of homes for sale is increasing in line with seasonal expectations. Last week, the Mortgage Bankers Association reported an uptick in mortgage applications.

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