A latest report on the U.S. housing market shows that more and more sellers are withdrawing their homes from the real estate market as they are unable to sell at the desired prices.
According to an analysis report released by the real estate brokerage firm Redfin on Wednesday, approximately 5.8% of listed homes were withdrawn from the market in April across the U.S. This proportion is the same as in December last year, reaching the highest level since March 2020 when the COVID-19 outbreak led to a near halt in the real estate market. Prior to 2020, the phenomenon of withdrawing listed homes from the market was never as prevalent as it is now.
After seasonal adjustments, the number of homes withdrawn from the market in April increased by 3.8% compared to March, marking the second consecutive month of increase for this indicator.
The analysis report from Redfin points out that the increase in withdrawn listings is largely due to the current buyer’s market. Many homeowners are looking to sell their houses but only if they can achieve their desired price. In many cases, potential sellers initially test the waters in the real estate market, but if they cannot secure the expected deal price or terms and feel that selling is not worthwhile, they withdraw their homes from the market.
Patricia Ammann, a Redfin Premier agent in Arlington, Virginia, stated: “Sellers are still adapting to the new normal after the pandemic. Home prices are not skyrocketing like they were five years ago – rising fuel prices and overall cost of living are impacting the real estate market, making buyers less likely to increase their offers. Buyers are aware of their bargaining power, often making offers below the asking price and completing home inspections, but some sellers are unwilling to compromise.”
In April, the city with the highest proportion of withdrawn listed homes in the U.S. was Atlanta, with one out of every ten listed homes withdrawing from the market. Following that was San Jose, California, with a withdrawal rate of about 9%; Los Angeles and Dallas tied for third place, both at 7.8%; and Seattle ranked fifth, with approximately 7.7%.
According to data from Mortgage News Daily in the U.S., mortgage rates had been declining at the beginning of 2026, with the average rate for a 30-year fixed mortgage briefly dropping to the range of 5% by the end of February.
However, since the outbreak of the U.S.-Iran conflict at the end of February, mortgage rates have sharply increased and have been maintained at higher levels. Based on the most recent data released by major real estate and financial institutions in the U.S., the average rate for a 30-year fixed mortgage is currently hovering around 6.5% to 6.7%.