-M.png "Market Monday March 10")
Across the NorthstarMLS coverage area, showing activity was down 8.7% compared to the same week in 2024. Three of the nine price ranges had more showings than last year—not coincidentally the three highest price brackets. Homes between $300-400K made up 27.6% of showings while homes over $1 million accounted for 3.2% of showings. The highest six price ranges made up a larger share of showing activity while the lowest three all decreased. A break lower in rates could lead to stronger showing activity and eventually more signed purchase agreements.
Preliminary February numbers show new listings down 6.3%. Lack of affordability still held back buyers as pending sales fell 6.6% last month. While half the active listings went under contract in under 50 days, half of sellers accepted offers above 98.1% of their original list price. Inventory levels are trying to squeeze out a gain, up almost 1% year over year as of today. We are still a listing-starved market with just 2.1 months of supply (up 5.0% from last February). The statewide median price rose 5.4% to $350,000.
While there’s been some encouraging movement on the mortgage rate front, it may not be due to ideal reasons. Average fixed 30-year mortgage rates stand at 6.79%, according to Mortgage News Daily. That’s the lowest level since October 2024. Mortgage rates mostly follow the 10-year treasury yield, which fell due to worsening consumer sentiment around the economy and uncertainty around tariffs and trade policy. Investors concerned about slower growth are flocking to safety, which pushes the price up and the yield down. Mortgage rates are based on that yield. Markets dislike uncertainty, and there’s plenty of it to go around right now.