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One specific case highlights the distress in the market. A house that has been on the market for 108 days—nearly four months—has only seen a minimal price cut of just $25,000 from an original listing of $875,000. This example illustrates the broader trend of owners seeking every possible path—renting, renovating, and relisting—without coming to terms with the declining demand for their homes.
Alarm Bells: Pending Home Sales Decline
Another alarming trend identified in the Redfin report is a staggering decline in pending home sales, which have plummeted by 99.4% year-over-year—the steepest drop since September 2023. This decline raises serious questions about why sales have not surged as anticipated following mortgage rate cuts or the conclusion of the election cycle.