An unprecedented 60,000 homebuyers canceled their purchase agreements, marking a record 16% cancellation rate for the month.
This surge in deal cancellations is attributed to rising concerns about the political climate as the presidential election approaches.
Buyers, despite lower mortgage rates, are hesitating due to high home prices and uncertainty about the future.
Regions like Tampa, Fort Lauderdale, and San Antonio experienced the highest cancellation rates, reflecting the impact of oversupply in the housing market.
Many sellers are responding to this trend by slashing prices, with over 26% of homes listed seeing price reductions—the highest since 2018.
Real estate experts note that while political factors traditionally influence market dynamics, the current climate is particularly unsettling for potential homeowners.
As Nicole Stewart, a Redfin agent, pointed out, even financially capable buyers are pausing their decisions, uncertain about the housing market’s direction in the coming months.
This cautious approach could reshape the real estate landscape as the election draws near.