This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Housing Demand Slowed in July: Redfin

NEW YORK ( TheStreet) -- The housing market is showing signs of cooling, as steadily rising home prices and higher interest rates have slowed demand for homes.

According to the Real-Time Demand Pulse from real estate broker Redfin, the number of home tours and offers to buy homes declined 3.5% in July from the previous month. During the same period in 2012, when the housing market was just starting to recover, home tours were up 3.1%.

Home offers were also down by 11% in July over the previous month.

Redfin, which serves 22 markets, conducts a monthly analysis of the number of home tours and offers to get a pulse on buyer demand.

Since peaking in April, Redfin customers touring homes and making offers has been on a steady decline.

This is despite the fact that the number of homes available for sale has been increasing. "Likely factors include rising interest rates and home prices, which are pricing some buyers out of the market. Other Redfin data shows that homebuyer fatigue after months of intense competition over historically low inventory also played a role," according to the report.

Industry observers are closely watching data to see if higher rates are making a dent on the recovery. So far, there has not been a strong indication from the home sales data or home price indices.

This is because most data is based on contracts that were closed during the month and since it can take anywhere between 30 to 60 days for a sale to close, there is a lag in the data.

-- Written by Shanthi Bharatwaj in New York.

>Contact by Email.

Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
IYR $77.20 -0.23%
XHB $33.79 -3.01%
AAPL $95.03 -2.90%
FB $116.73 7.20%
GOOG $691.02 -2.10%


Chart of I:DJI
DOW 17,830.76 -210.79 -1.17%
S&P 500 2,075.81 -19.34 -0.92%
NASDAQ 4,805.2910 -57.85 -1.19%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs