According to Redfin News, we're seeing a real pullback in buyer activity across the country right now. The number of homes going under contract dropped significantly week over week, marking the sharpest weekly decline since 2022. It's pretty clear that higher mortgage rates are causing people to pump the brakes on their home search, which is understandable when monthly payments are climbing.
The interesting thing is that while buyers are stepping back, sellers are still bringing homes to market. New listings ticked up slightly during this period, so we're seeing more inventory available even as buyer demand softens. This kind of dynamic is important because it shifts the balance of power a bit away from sellers.
Looking at the broader numbers, pending sales hit their lowest point in over five months. The median sale price nationally sits around $406,000, and the median monthly mortgage payment is running just over $2,600 at current rates. The share of homes selling above asking price has actually ticked up, which tells me there's still competition out there, but it's definitely more selective than what we saw earlier in the year.
What I am seeing locally in the Bay Area and East Bay is that this national cooling is absolutely affecting our market too. Buyers are being much more thoughtful about what they can afford, and I'm having more conversations about rate locks and financing options than I have in quite some time. The combination of higher rates and more inventory is creating opportunities for buyers who are ready to move, but it's also making sellers realize they may need to be realistic about pricing and condition if they want to attract serious offers.
