Today’s housing market rewards patience over panic: With hundreds of thousands more sellers than buyers in the U.S., buyers in most of the country have time to peruse options and negotiate
U.S. pending home sales fell to their lowest level since early April during the four weeks ending July 26, dropping 1.7% in the last week alone. That’s according to a new report from Redfin, the real estate brokerage powered by Rocket.
Tours of home listings are up 15% since the start of the year, compared with a 31% increase at this time last year, according to data from ShowingTime.
Homebuying demand is declining partly because mortgage rates are rising: The daily average rate rose to 6.85% at the end of last week, the highest level in over a year—and there’s little relief on the horizon. Rates remain under pressure due largely to inflation concerns and volatile oil prices tied to geopolitical tensions. Although the labor market remains strong, the combination of high borrowing costs and widespread economic uncertainty is prompting many house hunters to press pause.
There are a few bright spots for the buyers who are in the market. Despite stubbornly high rates, the median U.S. housing payment fell to $2,575—its lowest level in three months—because sellers’ median asking prices dropped to their lowest level in a year. And while some would-be sellers are backing off as demand declines, with new listings dipping to their second-lowest level since the start of 2026, there are still hundreds of thousands more sellers than buyers in the market. That means buyers have negotiating power in most of the country.
“It’s important for house hunters to remember that while mortgage rates were much lower during the pandemic, every listing was ultra-competitive; buyers often had to pay tens of thousands of dollars over the asking price to win a home,” said Bonnie Phillips, a Redfin Premier agent in Cleveland. “Rates are higher now, but bidding wars are unlikely and buyers are often able to negotiate prices down and get concessions from sellers. Today’s housing market rewards patience over panic: If you can afford to buy, focus on finding a home you love and negotiating a good deal rather than trying to perfectly time mortgage rates.”
For Redfin economists’ takes on the housing market, please visit Redfin’s “From Our Economists” page.
Leading indicators
| Indicators of homebuying demand and activity | ||||
| Value (if applicable) | Recent change | Year-over-year change | Source | |
| Daily average 30-year fixed mortgage rate | 6.78% (July 29) | Near highest level in a year | Essentially unchanged | Mortgage News Daily |
| Weekly average 30-year fixed mortgage rate | 6.58% (week ending July 23) | Highest level in 11 months | Down from 6.74% | Freddie Mac |
| Mortgage-purchase applications (seasonally adjusted) | Down 4% from a week earlier (as of week ending July 29) | Up 3% | Mortgage Bankers Association | |
| Google searches of “homes for sale” | Up about 5% from a month earlier (as of July 25) | Down 7% | Google Trends | |
| Touring activity | Up 15% from the start of the year (as of July 26) | At this time last year, it was up 31% from the start of 2025 | ShowingTime | |
Key housing-market data
| U.S. highlights: Four weeks ending July 26, 2026 Redfin’s national metrics include data from 900+ U.S. metro areas and are based on homes listed and/or sold during the period. Weekly housing-market data goes back through 2021. Subject to revision. | ||||
| Four weeks ending July 26, 2026 | Year-over-year change | Week-over-week change (where applicable) | Notes | |
| Median sale price | $407,752 | 2.8% | Roughly $2,000 shy of record high | |
| Median asking price (seasonally adjusted) | $392,760 | Unchanged | ||
| Median monthly mortgage payment (seasonally adjusted) | $2,575 at a 6.58% mortgage rate | -1.3% | Lowest level in 3 months | |
| Pending sales (seasonally adjusted) | 322,739 | 1.5% | -1.7% | Lowest level in over 3 months |
| New listings (seasonally adjusted) | 351,078 | 0.2% | -0.4% | Second-lowest level since first week of 2026 |
| Active listings (seasonally adjusted) | 1,490,916 | 0.7% | 0.3% | |
| Months of supply | 3.6 | -0.2 pts. | 4 to 5 months of supply is considered balanced, with a lower number indicating seller’s market conditions | |
| Share of homes off market in two weeks | 31.5% | Down slightly | ||
| Median days on market | 41 | Unchanged | ||
| Share of home listings with price drops | 20.3% | Down slightly | ||
| Share of homes sold above list price | 28% | Up from about 27% | ||
| Average sale-to-list price ratio | 99% | Up slightly | ||
| Metro-level highlights: Four weeks ending July 26, 2026 Redfin’s metro-level data includes the 50 most populous U.S. metros. Select metros may be excluded from time to time to ensure data accuracy. | |||
| Metros with biggest year-over-year increases | Metros with biggest year-over-year decreases | Notes | |
| Median sale price | West Palm Beach, FL (12.2%) Newark, NJ (6.8%) Detroit (6.5%) St. Louis (6.5%) Virginia Beach, VA (6.4%) | San Jose, CA (-3.3%) Seattle (-2.7%) Austin, TX (-1.2%) Orlando, FL (-0.3%) Charlotte, NC (-0.3%) Portland, OR (-0.3%) Dallas (-0.2%) | Declined in 7 metros |
| Pending sales | West Palm Beach, FL (15.4%) Boston (9.4%) Pittsburgh (8.5%) Cincinnati (8.2%) Sacramento, CA (5.9%) | Houston (-15.4%) Seattle (-13.9%) Phoenix (-12.5%) Denver (-7.7%) San Diego (-7.1%) | |
| New listings | St. Louis (13.5%) San Jose, CA (10.3%) Warren, MI (8.6%) Providence, RI (7.7%) Indianapolis (7.6%) | Fort Worth, TX (-12.3%) Dallas (-11.4%) Miami (-11.3%) Atlanta (-9.9%) San Antonio (-9.7%) | |
To view the full report, including charts, please visit:
https://www.redfin.com/news/housing-market-update-demand-slows-rates-hit-high-level
Contacts
Contact Redfin Journalist Services:
Tana Kelley
[email protected]
