Summary
U.S. homebuyers are canceling home purchases at a record rate, with approximately 56,000 deals falling through in August. The high cancellation rate is due to increased inventory and more negotiating power for buyers, leading to disagreements over pricing and terms. Many buyers back out due to issues found during inspections, difficulty in selling their current homes, or financing problems.
Key Facts
- About 56,000 home purchase deals were canceled in August, making up 15.1% of all contracted homes.
- This percentage is the highest for August since 2017, according to Redfin.
- There were over 2.1 million homes for sale in August, which is the most in the past five years.
- The median sale price of a U.S. home in August was $439,198.
- Many buyers cancel due to high prices, inspection issues, or trouble securing financing.
- A survey found that 67% of Americans think the economy is going in the wrong direction.
- 73% of Americans feel it is a bad time to buy a home, while 57% of sellers believe it's a good time to sell.
- 40% of survey respondents think home prices will continue to rise in the next year.
