Higher interest rates are slowing home sales across the country, but Oklahoma City still ranks among metro markets where properties are selling the fastest, according to Redfin.
A home listed for sale by Redfin in May in Oklahoma City typically sold within five days of hitting the market, the online real estate brokerage reported this week. According to multiple listing service MLSOK, as of Friday, homes on the market in the OKC metro were selling in 19 days on average.
Nationwide in May, the median number of days a home remained on the market as listed by Redfin was 16.
The median sale price for a Redfin home sold in May in Oklahoma City was $260,000, up 5.6% month-over-month and 15.6% year-over-year.
The median sale price for a home in Tulsa in May was $250,000, up 2% month-over-month and 16.3% year-over-year.
The cooling effect of rising mortgage interest rates also has impacted asking prices nationwide. Redfin said a 1.5% increase in the median asking price for a home recorded last month represented the smallest rise noted in a month since 2012.
And more and more often, in some cities homes are beginning to sell at below asking prices. Redfin said 40% of homes in Tulsa, for example, were predicted to sell at below asking price.
Still, with the nation recording a median sale price for a home in May of $430,600, it remains a tough market for buyers, and especially for first-time buyers dependent on borrowing.
“The sudden and dramatic surge in mortgage rates has been a shock to the system for housing,” Redfin chief economist Daryl Fairweather said. “The good news is that cheap debt is no longer fueling unsustainable home price growth, and existing homeowners are in a good position, holding record high home equity with debt financed at record-low mortgage rates. (However), homebuyers are facing mortgage rates near 6%, which means the housing-market slowdown will likely continue into the fall. One silver lining is that homebuyers are facing less competition for the first time in two years.”
Despite the softening demand, the inventory of homes for sale still fell from a year earlier in May, Redfin noted.
Key metrics for the month included:
· The $430,600 median sale price nationwide was 1.5% higher month-over-month and 14.8% higher year-over-year.
· Seasonally adjusted home sales numbered 556,200, down 3.0% month-over-month and 10.2% year-over-year.
· Pending sales numbered 516,500, down .3% and 9.2% year-over-year.
· New listings numbered 614,200, up .8% month-over-month but down 4.5% year-over-year.
· All homes for sale, seasonally adjusted, numbered 1,372,800, down 0.7% and down 4.3% year-over-year.
· Homes sold above list, 59.3%.
Indianapolis was the “fastest market” for sales in May, with half of all homes pending sale within just 4 days, Redfin said. Denver, Omaha, Oklahoma City and Portland, Oregon, were the next fastest, with median days on market of 5 prior to sale.
Markets where highest percentages of homes sold at above list prices in May included San Jose, California, (84.5%); Oakland, California, (83.6%); Worcester, Massachusetts, (76.3%); and San Francisco (76.0%).
Cities with highest price growth included North Port, Florida (30.5% year-over-year to $475,000); Tampa, Florida, (28.1%); Las Vegas (26.8%), and Knoxville, Tennessee (25.9%).
Notably, no metros saw price declines in May, Redfin said. Metros where markets seemed to be cooling fastest, however, included West Palm Beach, Florida; Lake County, Illinois; and Anaheim, California.
Miami, at 48.4%, had the largest share of homes predicted to sell for below list price, according to Redfin Estimate data, followed by Baton Rouge, Louisiana (40.6%), and Tulsa (40.0%).
Sacramento, California, at 90.8%, had the largest share of homes predicted to sell at or above list price, followed by Oakland (90.1%) and Worcester (89.6%).