Starter-Home Inventory Rises 4.5% as 25% of Listings Cut Prices
Updated
Updated · creators.yahoo.com · Aug 16
Starter-Home Inventory Rises 4.5% as 25% of Listings Cut Prices
3 articles · Updated · creators.yahoo.com · Aug 16
Summary
Zillow data shows first-time buyers are gaining leverage as more entry-level homes sit longer, bidding wars ease and sellers grow more willing to negotiate.
Nationwide starter-home inventory rose 4.5% from a year earlier, with bigger jumps in Memphis at 52%, Buffalo at 33% and Louisville at 32%.
One in four starter-home listings cut asking prices in June, versus 20.6% of luxury listings, even though the typical starter home still costs about $202,000, up 2.3% year over year.
Mortgage rates remain a major hurdle at about 6.6% to 6.79% for a 30-year loan, leaving affordability strained despite better negotiating conditions.
Luxury demand is still stronger: luxury home sales rose 6.2% in May while starter-home sales fell 5.4%, extending a broader buyer's-market shift as high rates keep many households sidelined.