Redfin’s Homebuyer Demand Index, a seasonally adjusted measure of buyer activity through Redfin agents, increased 8% year-over-year, nearing its highest point since April. Mortgage-purchase applications surged nearly 20% from the previous month, while pending home sales rose by 4.1% year-over-year during the four weeks ending December 8.
According to Redfin, the financial uncertainty surrounding the presidential election has passed, and buyers have accepted that mortgage rates are likely to remain above 6% for the foreseeable future.
“This week’s data shows the increase in signals like home tours and mortgage applications from the last month is continuing,” said Chen Zhao, economic research lead at Redfin. “The recent decline in mortgage rates isn’t pushing demand to new heights.”
Sellers appear to be responding to the same factors influencing buyers, with many listing properties to capitalize on heightened demand. New listings have risen by 7.9% year-over-year, marking the most significant increase since June (aside from a Thanksgiving-related jump in late November).
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