Key Findings
The Market Outlook from the REALTORS® Confidence Index for buyers and sellers continued to gain positive steam in January 2024
- 36% of respondents expect a year-over-year increase in buyer traffic in the next three months, up from 33% one month ago and up from 20% one year ago.
- 28% of respondents expect a year-over-year increase in seller traffic in the next three months, up from 25% last month and up from13% one year ago.
With supply still limited relative to demand, 16% of homes sold above list price flat from last month and a year ago
- 53% of respondents reported that properties sold in less than one month. Down from 56% a month ago and down slightly from 54% in January 2023.
- Homes listed received an average of 2.7 offers, up slightly from 2.4 offers last month and up slightly from 2.5 offers in January 2023.
- Due to the lack of housing inventory, the pace of the market, and the use of technology, 3% of buyers purchased a home based only on a virtual tour, showing, or open house without physically seeing the home. Down from 9% one month ago and 4% one year ago.
Contracts typically closed in 30 days, the same as last month and one year ago. But some faced delays or termination
- 7% of contracts were terminated in the last three months, up slightly from one month and one year ago.
- 13% of contracts had delayed settlements in the past three months, down slightly from 16% last month and 15% one year ago.
- 5% of contracts had delayed settlement due to appraisal issues, down slightly from 6% last month and one year ago.
First-time buyers represented 28% of buyers, down from 29% in December 2023 and 31% in January 2024. Among all buyers
- 17% purchased for non-primary residence use, down slightly from 16% last month and flat from last year.
- 3% were purchased for vacation use, down slightly from one month ago and one year ago.
- 1% of sellers sold to an iBuyer, flat from one month and one year ago.
- 2% of sales were distressed, flat from one month and up slightly from one year ago.
Contract activity remains competitive
- 32% of buyers had all-cash sales, up from 29% last month and 29% in last year.
- 21% of buyers waived the inspection contingency, down from 21% one month ago and flat from one year ago.
- 16% of buyers waived the appraisal contingency, up slightly from 15% one month and flat from one year ago.
Buyers continue to look outside of city centers for the majority oftheir activity at 85%.