Redfin economists say they expect the cooldown in budgets to lead to a cooldown in price growth over the next few months.
The shift comes at a great cost as rising mortgage rates continue to keep buyers out of the market.
In Atlanta, 36 homes sold for at least $100,000 over asking price, up from four in 2021.
While rising interest rates may lead to more reductions in the housing supply, it may also bring some much-needed balance to the market.
Days on market for homes sold in Atlanta fell to 52 from 64 a year earlier.
December housing sales fell lower than they have since the start of the pandemic, a new Redfin report found.
“Fewer homes are selling because of a lack of supply, while demand remains strong.” — Redfin chief economist Daryl Fairweather
As more money is being spent on real estate than ever before, the booming market is on pace to shatter records this year, according to a recent CoreLogic report.
Investors across the country are looking to cash in on skyrocketing house prices and rents, putting them in competition with new buyers trying to work their way to homeownership. Real estate investors bought a record 18% of the homes sold in the third quarter, according to a new Redfin report.
The demand for housing in the U.S. has reached a new all-time high since 2017, a rare occurrence for this time of year when the market typically slows. According to a Redfin report, a recovering economy and all-time low mortgage rates are critical factors in the current market.