High Costs Sideline Some Would-Be Homebuyers, Handing Upper Hand to Those Who Stay in the Market
Redfin’s latest four-week data shows record-high monthly payments, softer demand, and more price cuts even as listings and select metro prices rise.
Rhea-AI Summary
RKT highlights a new Redfin report showing that U.S. homebuying costs have reached their highest level in over a year, with the typical monthly mortgage payment at $2,641 for the four weeks ending September 6, 2026, based on a 6.71% mortgage rate.
The median home-sale price rose 2.2% year over year to about $398,637, while the weekly average 30-year rate climbed to 6.71% and the daily average hit 6.97%. Pending home sales were down 2.1% year over year and essentially flat week over week, reflecting demand kept in check by high costs and economic uncertainty. New listings, though down 4.8% from the prior week due to Labor Day timing, were up 2.1% year over year, and active listings also increased 2.1%.
About 20.8% of listings had a price drop and the median days on market rose to 46, but 25.5% of homes still sold above list price, with some metros such as Milwaukee and San Francisco posting strong price gains.
Positive
- Median sale price up 2.2% year over year to about $398,637
- Median monthly payment up 2.8% year over year to $2,641 at 6.71% rate
- New listings up 2.1% year over year to 364,576
- Active listings up 2.1% year over year to 1,506,212
- Homes sold above list price share rose to 25.5% from 24.9%
Negative
- Pending sales down 2.1% year over year to 309,160
- Mortgage-purchase applications down 0.2% week over week
- Google searches for “homes for sale” down 18% month over month
- Touring activity down 0.6% from start of year versus +21% a year earlier
- Share of listings with price drops up to 20.8% from 19.8%
- Median days on market increased to 46 days, up by 1 day year over year
Key Figures
- Monthly mortgage payment
- $2,641
- Four weeks ending Sep. 6, 2026; 14-month high
- Weekly mortgage rate
- 6.71%
- Four weeks ending Sep. 6, 2026
- Median sale price
- $398,637
- Four weeks ending Sep. 6, 2026; up 2.2% year over year
- Pending sales
- 309,160
- Four weeks ending Sep. 6, 2026; down 2.1% year over year and up 0.1% week over week
- New listings
- 364,576
- Four weeks ending Sep. 6, 2026; up 2.1% year over year and down 4.8% week over week
- Active listings
- 1,506,212
- Four weeks ending Sep. 6, 2026; up 2.1% year over year
- Listings with price drops
- 20.8%
- Up from 19.8% a year earlier
- Median days on market
- 46 days
- One day longer than a year earlier
Historical Context
-
Supply increased while demand remained weak and buyer bargaining power expanded
-
Listings and inventory increased while pending sales remained near February lows
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
seasonally adjusted technical
months of supply technical
sale-to-list price ratio technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
Redfin agents say pricing realistically from the start is the key to finding a buyer;
Here's what else is happening in the housing market for the four weeks ending Sept. 6:
- The typical
U.S . homebuyer's monthly mortgage payment reached a 14-month high of$2,641 2.2% year over year, and partly because the weekly average mortgage rate increased to6.71% . - Elevated costs are keeping some would-be buyers on the sidelines. Pending home sales were essentially flat (+
0.1% ) from a week earlier on a seasonally adjusted basis, sitting near their lowest level since February. Economic uncertainty is also contributing to sluggish demand. Buyers have negotiating power in most of the country, but for many house hunters, that isn't enough to offset high costs. - New listings fell due to Labor Day, but they're still higher than last year. New listings fell
4.8% from a week earlier on a seasonally adjusted basis, but that's mostly because of the timing of Labor Day weekend. New listings are up2.1% from a year ago, and the total number of homes for sale is also up2.1% . Sellers are listing their homes because they want to sell before prices decline, life circumstances are prompting them to move, and the lock-in effect is easing. - Sellers should adjust their expectations. Just over one in five (
20.8% ) home listings had a price drop, up from19.8% a year ago, and the typical home that sold spent 46 days on the market—one day longer than a year earlier. With some buyers shying away due to high costs and homes taking longer to sell, pricing a home realistically from the start is crucial. "Pricing attracts attention. Overpricing creates hesitation," says Vanessa Leimback, a Redfin Premier agent inSeattle . - But some homes are still attracting competition. One-quarter (
25.5% ) of homes that sold went for over their asking price, up slightly from24.9% a year earlier. Some parts of the country, includingSan Francisco andNew York City suburbs, have competitive markets, and Redfin agents all over theU.S . say well-priced homes in desirable neighborhoods are still attracting bidding wars.
For Redfin economists' takes on the housing market, please visit Redfin's "From Our Economists" page.
Leading indicators
Indicators of homebuying demand and activity | ||||
Value (if applicable) | Recent change | Year-over-year | Source | |
Daily average 30-year fixed mortgage rate | Highest level in over a | Up from | Mortgage News Daily | |
Weekly average 30-year |
| Up slightly from one | Up from | Freddie Mac |
Mortgage-purchase | Down | Up | Mortgage Bankers | |
Google searches of "homes for sale" | Down | Down | Google Trends | |
Touring activity | Down | At this time last year, | ShowingTime | |
Key housing-market data
| ||||
Four weeks ending Sept. 6, 2026 | Year-over-year change | Week-over-week | Notes | |
Median sale price | 2.2 % | |||
Median asking price | 1.1 % | |||
Median monthly mortgage | 2.8 % | Highest level since | ||
Pending sales (seasonally | 309,160 | -2.1 % | 0.1 % | |
New listings (seasonally | 364,576 | 2.1 % | -4.8 % | Much of the weekly |
Active listings (seasonally | 1,506,212 | 2.1 % | -0.2 % | |
Months of supply | 3.9 | Up from 3.8 | 4 to 5 months of | |
Share of homes off market | 30.1 % | Essentially unchanged | ||
Median days on market | 46 | +1 day | ||
Share of home listings with | 20.8 % | Up from | ||
Share of homes sold above | 25.5 % | Up from | ||
Average sale-to-list price | 98.7 % | Up from | ||
Metro-level highlights: Four weeks ending Sept. 6, 2026 | |||
Metros with biggest year- | Metros with biggest year- | Notes | |
Median sale price |
| ||
Pending sales |
| ||
New listings |
| ||
To view the full report, including charts, please visit: https://www.redfin.com/news/housing-market-update-high-costs-sideline-buyers-negotiating-power
About Redfin
Redfin is a technology-driven real estate company with the country's most-visited real estate brokerage website. As part of Rocket Companies (NYSE: RKT), Redfin is creating an integrated homeownership platform from search to close to make the dream of homeownership more affordable and accessible for everyone. Redfin's clients can see homes first with on-demand tours, easily apply for a home loan with Rocket Mortgage, and save thousands in fees while working with a top local agent.
You can find more information about Redfin and get the latest housing market data and research at https://www.redfin.com/news. For more information about Rocket Companies, visit https://www.rocketcompanies.com.
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SOURCE Redfin
FAQ
What key factors are driving the record-high typical monthly mortgage payment?
The typical monthly mortgage payment of $2,641 reflects both a 2.2% year-over-year rise in the median home-sale price to about $398,637 and an increase in the weekly average 30-year fixed mortgage rate to 6.71%. The daily average rate recently reached 6.97%, the highest level in over a year, which further elevates borrowing costs.
How is buyer demand changing in the current housing market?
Pending sales on a seasonally adjusted basis were 309,160, down 2.1% year over year and roughly flat week over week. Mortgage-purchase applications fell 0.2% from the prior week, Google searches for “homes for sale” were down 18% from a month earlier and 15% year over year, and touring activity was 0.6% below the start of 2026 versus a 21% gain at the same time in 2025.
What do the data say about how long homes are taking to sell and pricing behavior?
The median days on market for homes sold in the period was 46, which is one day longer than a year earlier. About 20.8% of listings had a price drop, up from 19.8% a year before, indicating more sellers are adjusting expectations. At the same time, the average sale-to-list price ratio edged up to 98.7% from 98.6%.
How balanced is the overall supply of homes for sale?
Months of supply stood at 3.9, up from 3.8. Redfin notes that 4 to 5 months of supply is considered balanced, with a lower number indicating seller’s market conditions. Active listings reached 1,506,212, up 2.1% year over year.
Which metro areas saw the largest year-over-year price changes?
On the upside, median sale prices rose most in Milwaukee (8.7%), San Francisco (8.5%), Cincinnati (8%), Detroit (7.5%) and St. Louis (7%). The biggest declines were in Seattle (-4.5%), Austin (-4.5%), Fort Worth (-3%), San Antonio (-2.3%) and Oakland (-2.1%).
Where can readers access the full Redfin housing report and charts?
The full report, including charts and additional housing-market details, is available at https://www.redfin.com/news/housing-market-update-high-costs-sideline-buyers-negotiating-power.