Real estate website traffic crashed during peak season—Zillow down 16%, Redfin 15%, Realtor 13%. Homebuilder sentiment just plunged to a 13-year low for May.

  • Painfully high home prices and mortgage rates have scared off some potential homebuyers, according to Redfin. Despite an easing of China tariffs, mortgage rates are being pushed higher. High prices have created a lopsided housing market, with homes for sale at a five-year-high, but few buyers.

As elevated home prices and mortgage rates continue to weigh on the housing market, would-be home buyers are pulling out, according to a Redfin report.

Stubbornly high home prices are keeping monthly housing payments uncomfortably high: The median payment this week was a hefty $2,860, just $6 less than the record high set last week.

Pending home sales across the U.S. slipped 3.4% compared to this time last year during a four-week period ending May 11. That’s the lowest level on record during this timeframe, outside of 2020, according to Redfin. The median asking price rose 6.5% to $429,850 from a year ago, while the median sale price grew 1.8% to $390,998.

https://finance.yahoo.com/news/doubt-hesitation-ripping-housing-market-171610766.html