According to a recent Redfin study, the real estate brokerage powered by Rocket, new listings of U.S. houses for sale increased 0.5% from a year earlier for the four weeks ended March 8, the first gain since November. Even though it’s a slight improvement, the fact that mortgage rates have dropped to 6% may indicate that some home sellers are feeling more optimistic about this spring’s housing market. Because of this, the median monthly home payment has decreased by 3.2% year-over-year (YoY).
Redfin brokers in many parts of the nation claim that 6% is a “psychological threshold” for buyers who have been holding off on making a purchase. A portion of the increase in new listings can be attributed to sellers relisting their properties. In anticipation of a better market this year, homeowners who removed their properties off the market in 2025 are relisting at a record rate. Redfin also notes that due to unrest and uncertainty in the Middle East, the daily average mortgage rate increased as high as 6.19% this week.
Mortgage-purchase applications are up 8% week-over-week, but pending home sales are down 1.3% YoY—the smallest fall in more than a month. These are also indicators that, as spring draws near, the market might be gradually improving. A small percentage of potential purchasers claim they are postponing plans because of the Iran war, but many are still on the sidelines, discouraged by the continued high prices and economic uncertainties.
U.S. Housing Highlights — Four weeks ending March 8, 2025
Four weeks ending March 1, 2025 | YoY Change | Notes |
| Median sale price | $385,125 | 1.2% |
| Median asking price | $417,475 | 2% |
| Median monthly mortgage payment | $2,611 at a 6% mortgage rate | -3.2% |
| Pending sales | 78,811 | -1.3% |
| New listings | 90,461 | 0.5% |
| Active listings | 1,023,623 | -2.2% |
| Months of supply | 4.6 | +0.2 pts. |
| Share of homes off market in two weeks | 33% | Essentially unchanged |
| Median days on market | 63 | +8 days |
| Share of homes sold above list price | 21.1% | Down from 22% |
| Average sale-to-list price ratio | 98.1% | Down from 98.2% |
“Heading into spring and summer, the vibe is that the market will shift from the slowness we’ve seen over the last few years,” said Justin Gomez, a Redfin Premier agent in Omaha, NE.
Home purchasers now have negotiating power because there are hundreds of thousands more house sellers than purchasers in the market. However, greater options and cheaper housing costs may entice some buyers off the sidelines, and some power may begin to return to sellers.
Regional Snapshot — Metro-Level Highlights (March 8, 2025)
Metros with biggest YoY increases in median sale price:
- San Francisco, CA (9.3%)
- Newark, NJ (8.9%)
- Philadelphia (8.2%)
- Baltimore (8%)
- Pittsburgh (7.6%)
Overall, the median sale price declined in 18 metros nationwide.
Metros with biggest YoY decreases in median sale price:
- Dallas (-5.3%)
- Oakland, CA (-4.6%)
- Denver (-3.5%)
- West Palm Beach, FL (-3.1%)
- San Jose, CA (-2.5%)
Metros with biggest YoY increases in pending sales:
- Milwaukee (12.7%)
- Austin, Texas (10.5%)
- West Palm Beach, FL (7.9%)
- Portland, OR (6.4%)
- Washington, D.C. (5.3%)
Metros with biggest YoY decreases in pending sales:
- Nassau County, NY (-22.1%)
- Providence, RI (-17.8%)
- New Brunswick, NJ (-15.5%)
- Houston (-14%)
- Oakland, CA (-13.8%)
Metros with biggest YoY increases in new listings:
- Milwaukee (26.3%)
- Portland, OR (14.8%)
- Seattle (11.7%)
- San Jose, CA (8.6%)
- Washington, D.C. (8.6%)
Metros with biggest YoY decreases in new listings:
- Nassau County, NY (-25.8%)
- Providence, RI (-22.1%)
- Newark, NJ (-16.5%)
- New Brunswick, NJ (-14.8%)
- New York (-14.1%)
“I’ve already seen a few bidding wars on lower–priced homes, and that may become more common if mortgage rates stay closer to 6% than 7%,” Gomez said. “We also have a fairly large pool of homes for sale, with a lot of new construction homes sitting on the market. If the spring does bring more buyers off the sidelines, those will go fast and maybe for over asking price.”
To read the full report, click here.
