Currently Reading

Coronavirus' Hold on Housing Market Nearly Nationwide


Coronavirus' Hold on Housing Market Nearly Nationwide

March 19, 2020
Downtown los angeles
By Justin

Before the spread of the coronavirus, all the housing market's stars were aligned: Builders were confident, demand high, interest rates low, and construction was ramping up as the housing industry prepared for its best season in a long time. No one expected a global pandemic to pull the rug from under not just the housing industry, but the entire nation. Now, after cautious warnings that the housing market may slow down despite holding steady, the effects of the coronavirus’ spread are showing weakened buyer demand as it dropped from 27 percent growth in the beginning of 2020 to one percent in the past week. 

On Thursday, the housing market took a turn for the worse. A week ago, we reported that nationwide homebuyer demand had weakened meaningfully, but from high levels. We measure homebuying demand by looking at the annual growth rate in people going on their first home tours with a Redfin agent.

Growth in Home Buying Demand: Thirty to Zero in Two Weeks

This week, home-buying demand took a big hit, with year-over-year growth dropping from nearly 27% in January and February to 1% growth over the past seven days. There has in fact been a 1% contraction in demand over the past three days. This decline is unsurprising, now that governments in San Francisco and Philadelphia are telling residents to stay home. Traffic growth to Redfin’s website has also slowed from around 20% through the first two months of 2020 to high single digits over the past week. 

Read More

Related Stories

Market Data + Trends

Rising Interest Rates Cause Drop in Mortgage Originations

Why mortgage bankers might be seeing a lot less business.

Housing Markets

How Mortgage Rates Affect the Housing Market

As mortgage rates go up, the housing rally slows down.


Lumber and Concrete Prices Fall in September

What the latest PPI report means for construction goods.


More in Category


Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.

Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.