Buyers finding discounts during pandemic house hunting

Buyers finding discounts during pandemic house hunting

Buyers finding discounts during pandemic house hunting
As nearly all states in the U.S have entered some phase of reopening, home buyers are hitting the market again. As they do so, many should expect to see prices on listed homes marked down, some as much as 10 percent. According to a new report from Weiss Analytics, a quarter of home sellers who listed a property for sale since the pandemic began has lowered the asking price.

Homes priced $600,000 or more are the most likely to see a price reduction with 37 percent of listings in this category seeing a median price drop of 7.7 percent since February. The market share of higher-priced homes that have cut prices has risen every week since mid-March according to the report.

Home prices have climbed for 97 consecutive months on a year-over-year basis. This recent change could signal an opportunity, particularly for first-time homebuyers who have struggled with affordability in the past.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 3.375 percent and 15-year rates are near 2.75 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.