“Fear of missing out has morphed into fear of messing up”…. Homebuyers are backing out of deals at a record pace

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via Yahoo:

Deals are falling through in the housing world. Roughly 56,000 home purchase agreements were called off last month, which translates to almost 15% of homes under contract at the time, “the highest percentage of any June on record,” according to Redfin (RDFN).

“House hunters are having trouble committing because buying a home is more expensive than ever,” an analysis from Redfin published today read. It pointed to the median home sale price, which rose 4% from a year earlier to $442,525 in June, and the average 30-year fixed mortgage rate, which was 6.92%.

Sellers even cut their prices, but it didn’t seem to be enough. About one in five homes for sale last month had a price reduction, the highest amount of any June on record. It was up more than 14% from a year ago and barely below a record set in October two years ago. “Some sellers are reducing their prices because their homes are sitting on the market and getting stale—the result of an ongoing affordability crisis impacting buyers,” Redfin said.

The US housing-market logjam keeps getting worse

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