Key Findings
Days on market fall to 24; sellers received an average of 2.7 offers; 24% of homes sold above the list price.
The Market Outlook from the REALTORS® Confidence Index for buyers increased slightly but is flat for sellers:
- 19% of respondents expect a year-over-year increase in buyer traffic in the next three months, up from 16% one month ago and 11% one year ago.
- 18% of respondents expect a year-over-year increase in seller traffic in the next three months, up from 17% one month and 10% one year ago.
With supply still limited relative to demand, 20% of homes sold above list price, but down from last month’s 24% and 31% a year ago:
- 60% of respondents reported that properties sold in less than one month. This is down from a month ago (62%) and from 72% in August 2023.
- Homes listed received an average of 2.4 offers, down from 2.7 offers last month and down from 3.2 one year ago.
- Due to the lack of housing inventory, the pace of the market, and the use of technology, 8% of buyers purchased a home based only on a virtual tour, showing, or open house without physically seeing the home. This is essentially flat from 8% one month ago and from 7% one year ago.
Contracts typically closed in 30 days, the same as last month and one year ago. But some faced delays or termination:
- 5% of contracts were terminated in the last three months, essentially flat from 6% one month ago and 5% one year ago.
- 14% of contracts had delayed settlements in the past three months, essentially flat from 15% last month and 14% one year ago.
- 6% of contracts were delayed due to appraisal issues, down slightly from 7% from last month and up slightly from 7% one year ago.
First-time buyers represented 26% of buyers, down from 29% in July 2024 and August 2023. Among all buyers:
- 19% purchased for non-primary residence use, up from 13% last month and 16% last year.
- 7% were purchased for vacation use, up from 4% one month and 5% one year ago.
- 2% of sellers sold to an iBuyer, essentially unchanged from one month and one year ago.
- 1% of sales were distressed, flat from 1% one month ago and 1% from one year ago.
Contract activity shows some signs of a slightly easier market for buyers:
- 26% of buyers had all-cash sales, down slightly from 27% one month ago and 27% one year ago.
- 18% of buyers waived the inspection contingency, down slightly from 20% one month ago and down from 23% one year ago.
- 20% of buyers waived the appraisal contingency, down from 22% one month ago but 22% in August 2023.
Buyers continue to look outside of city centers for the majority of their activity at 88%.