The number of real estate agents that have expectations of strong home price increases dropped by over 60 percent (63%) in the 2nd quarter of this year, according to the results of a Redfin survey that were just released. Agents are not gloom and doom about home prices though as 70 percent of them feel home prices will “rise a little”.
Highlights from the survey:
- Recognize that it is still a strong seller’s market: 86% of agents surveyed described now as “a good time to sell,” up from 82% in the first quarter. Meanwhile, only 46% described it as “a good time to buy,” down from 57% in the first quarter.
- Expect more modest price gains: 86% of agents believe home prices will rise in the coming months, versus 97% in the first quarter. Sixteen percent expect home prices to “rise a lot,” down from 44% in the first quarter.
- Notice Less Competition: Just 11% of Redfin agents recommend that buyers use aggressive strategies such as waiving contingencies and expanding their budget when facing a bidding war, down from 15% in the first quarter, signaling a shift away from the fierce competition seen earlier in the year.
- Still struggle with low inventory and multiple offers: 93% of agents pointed to low inventory and multiple offers as the most common challenges facing buyers, down slightly from 96% in the first quarter.
- Are seeing an increasing number of new agents: 31% of agents have seen an increasing number of people in their area becoming real estate agents, up from 24% in the first quarter and 17% in the third quarter of 2012.