'Doubt and hesitation' are ripping through the housing market: 'People are starting their home search, then backing out'

Travel and Leisure Travel and Leisure

Fri, May 16, 2025

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[ Yesterday Afternoon ] - BBC

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[ Yesterday Morning ] - Forbes

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'Doubt and hesitation' are ripping through the housing market: 'People are starting their home search, then backing out'

^{Published on 2025-05-16 14:26:33 - Fortune}

With housing costs near a record high, home buyers are mostly staying on the sidelines.

The article from Fortune discusses the current state of the U.S. housing market, highlighting a significant trend where potential homebuyers are increasingly backing out of deals due to rising mortgage rates and home prices. In August, about 15.7% of home purchase agreements were canceled, a sharp increase from the 12.7% cancellation rate in July, according to data from Redfin. This trend is attributed to the combination of high home prices and elevated mortgage rates, which have climbed above 7% for a 30-year fixed mortgage. The article notes that while the market is cooling, it remains challenging for buyers, particularly first-time buyers, as the inventory of homes for sale remains low. Sellers are also facing difficulties, with many having to lower their asking prices to attract buyers in this shifting market environment.

Read the Full Fortune Article at:
[ https://fortune.com/article/housing-market-buyers-backing-out-mortgage-prices/ ]

N@N

'Doubt and hesitation' are ripping through the housing market: 'People are starting their home search, then backing out'