One in four home sellers said they were not concerned about selling this time of the year, according to the company’s recent survey on homeseller sentiment. The survey ranked the concerns of home sellers, and “none” ranked as the number-one concern this quarter, up from eighth in Q1; “rising mortgage rates might discourage buyers” fell to the second spot this quarter after being the top concern last quarter; and the fear of not finding a desirable home dropped to fifth place after being the third-biggest concern in the previous quarter.
“Despite strong sentiment among current home sellers, the numbers show prospective sellers have been very slow to list their homes,” said Redfin Chief Economist Nela Richardson. “New listings dropped 2.3% in the first three months of the year compared to the same period last year.”
Another indication of the high level of confidence in home sellers last month was the slight shift in more aggressive pricing – sellers who said they would price high rose by six percentage points to 21% in April from 15.4% in January.
“Would-be sellers are likely waiting for prices to peak; they’re trying to time the market to fetch the largest possible gain,” Richardson said. “Whether the confidence of the current cohort of sellers translates into more new listings in the coming months is the number one question that determines whether 2017 will be a good year or a great year.”
Cash sales of new homes hit 7-year low
Homeseller confidence is strong for the spring buying season, according to new data from Redfin.