An increasing number of buyers across the country are starting to get cold feet as rates rise.
In particular, 63 percent of prospective buyers surveyed contend rising rates will make it harder for them to find a house they can afford, a new Redfin survey finds. Meanwhile, the number of sellers who think it's a great time to unload their house is also on the decline.
I've cut and pasted the survey results directly from the Redfin release.
- 63% of respondents indicated that rising mortgage interest rates are making it harder for them to afford a home;
- A majority of respondents said rising mortgage rates caused them to alter the pace of their home search, with 33% speeding up their search, 20% slowing it down, and 1% halting their search efforts;
- 63% of buyers believe that now is a good time to sell a home in their neighborhood, down from 66% last quarter, the first drop in three quarters;
- 24% said that now is a good time to buy a home in their neighborhood, down from 32% last quarter, and from the rate?s peak 48% in the fourth quarter of 2012;
- 58% of buyers cited low inventory as a major concern with buying a home now, down from 66% last quarter and five points more than the 53% of respondents who indicated that rising mortgage rates were a top concern.
Buyers, where do you stand on rates? Are you speeding up your search or slowing it down as rates rise?
The author is solely responsible for the content.