Cash is no longer king in home sales
Cash buyers are a diminishing share of the overall housing market, as more supply and weaker prices give all buyers more purchasing power.
TL;DR
- The share of cash sales in the first four months of the year was 31.4%, down from 32.3% a year ago.
- Total home sales decreased by 8.5% year over year, while cash sales fell by 11.2%.
- National median home price growth slowed to 0.2% annually, a significant decrease from previous years.
- Moderating prices and increased inventory are providing financed buyers more opportunities to compete.
- While national cash sales are declining, Pittsburgh, Austin, and San Francisco have experienced an increase in the share of cash transactions.
- Real estate agents report a tapering off of 'cash is king' mentality, with financed buyers successfully winning bidding wars.