It’s a tough time to be in the market for a new house.
The average 30-year fixed rate mortgage rose above 7% at the start of November 2022, the highest level in more than a decade, as the Federal Reserve raised its benchmark rates to combat inflation. After dipping slightly since then, rates have surpassed 7% once again. Even a half of a percentage point change can significantly affect the monthly payments required for a mortgage.
Since mortgage rates were under 4% for the better part of the past decade, many homebuyers locked in far more affordable rates than what’s on offer in today’s environment.
And yet, there are still metro areas where homebuyers find homes selling below the asking price, especially in markets that recorded significant price growth over the last few years.
Stacker analyzed data from Redfin to see which metros had the most homes sold under the asking price. Data shows sales for August 2023. Metros with fewer than 300 home sales are excluded from this list.
Metro areas are ranked on the average sale-to-list ratio, which is a ratio of sale price divided by list price for homes that sold in August. Values are rounded to the nearest hundredth. Also listed are the metro area’s median listing prices for homes on the market in August and median sale prices for homes that sold during that month.
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