Redfin agents report that although there is a large pool of buyers ready to buy, there are not enough homes available for them to take action on.
Homebuyer activity increased for the second consecutive month in August, according to the Redfin Housing Demand Index, which tracks the number of Redfin customers who request home tours and submit offers.
The demand for homes nationally increased 1.7 percent from July to a seasonally adjusted level of 93. That boost was driven by a 9.8-percent surge in the number of customers making offers. That figure could have higher if not for the number of buyers requesting tours declining 3.6 percent. Redfin agents report that although there is a large pool of buyers ready to buy, there are not enough homes available for them to take action on. The number of houses for sale in the 15 metro markets that the Demand Index tracks fell 9.4 percent from August 2015 and marks the 15th straight month of decline for inventory.
On an annual basis, the Demand Index posted its largest year-over-year decline, falling 17.5 percent. The 93 level for August is below the normal threshold of 100, which was benchmarked to represent average demand over three years of recovering homebuyer demand from 2013 through 2015.