Pace of Housing Market Fell for Third Consecutive Month in July According to Redfin Report

SEATTLE, Aug. 22, 2013 /PRNewswire/ -- Redfin (www.redfin.com), the technology-powered real estate brokerage, today issued its Fastest Markets Report for July 2013. Home-selling speeds fell for the third month in a row as the market continues to rebalance after an extremely competitive spring season. In today's report, Redfin also ranks 23 markets across the country ordered by the percentage of homes that went under contract within 14 days of their debut. The metrics include single-family homes, condos, and townhouses listed in the Multiple Listing Service (MLS).

(INFO: http://photos.prnewswire.com/prnh/20130822/SF67986-INFO)

In July, 30 percent of homes went under contract within 14 days, a slowdown from 31 percent in June and 33.4 percent in April. Compared with last year, however, when just 21.2 percent of homes went under contract within two weeks, today's market is still moving at an extremely fast pace. In July 2011, only 13.0 percent of homes went off the market that quickly.

Market speed over the past two years has slowed in July, with many homebuyers taking a break from the market for summer vacation. The seasonal effect is likely exaggerated this year, as Redfin agents across the country report that their clients have temporarily put their home searches on hold, feeling worn down by bidding wars involving as many as dozens of competing bids, not to mention rising interest rates. Despite this slowdown, we expect market speed to remain brisk in the coming months as buyers rush to get a home under contract while interest rates are still near record lows.

"My clients were on the beach with umbrella drinks last month, not touring houses," said Kris Paolini, a Redfin agent in Potomac, Maryland. "After the emotional roller coaster, they seemed to need a break more than ever."

Other key findings include:

• San Jose (Silicon Valley), CA was the fastest-moving market, with 44.7% of homes under contract within two weeks of their debut, a slowdown from 46.3% in June.
• In Philadelphia, the slowest market, 7.0% of homes went under contract within two weeks. 
• California was home to six of the nation’s 10 fastest markets: San Jose (#1), San Francisco (#2), Ventura (#3), San Diego (#4), Riverside (#7) and Sacramento (#9).
• Also among the 10 fastest markets were Austin, TX (#5), Washington, D.C. (#6), Seattle (#8) and Phoenix (#10).
• Las Vegas and Raleigh, NC saw the largest month-over-month speed increases. In Las Vegas, 28.5% of homes went under contract within two weeks in July compared with 20.9% in June. In Raleigh, 18.9% of homes went under contract that quickly in July compared with 11.9% in June. 
• Seattle and Washington, D.C. slowed the most from June, with rates falling from 38.5% to 35.1%, and from 38.6% to 35.6%, respectively. 
• In Atlanta, 23.6% of homes went under contract within two weeks, compared to just 1.2% in July 2012. This 22.4 point jump was the nation’s largest year-over-year increase. 
• Phoenix saw the biggest year-over-year slowdown, falling from 36.1% in July 2012 to 34.3% last month.
• Despite the overall decreasing pace, all of the metro areas covered remain seller’s markets (six or more months of supply). Philadelphia came closest at 5.2 months of supply.

To read the full report, complete with a speed ranking of 23 real estate markets, click the following link. http://www.redfin.com/research/reports/real-time-fastest-markets.

About Redfin
Redfin (www.redfin.com) is a technology-powered real estate broker that represents people buying and selling homes. Founded and run by technologists, Redfin has a team of experienced, full-service real estate agents who are advocates, not sales-people, earning customer-satisfaction bonuses, not commissions. Redfin's online tools feature all the broker-listed homes for sale, as well as for-sale-by-owner properties that don't pay brokers a commission. The company serves 22 U.S. markets and has closed more than $8 billion in home sales. In 2012, Redfin was named one of The DIGITAL 100: World's Most Valuable Private Tech Companies by Business Insider. Follow us on our blog (blog.redfin.com), Twitter (@redfin), and Facebook (facebook.com/redfin).

SOURCE Redfin