As a homeowner considering a move, you may wonder if now is a good time to sell. Good news. Buyer traffic is rising despite increasing mortgage rates.

According to the latest ShowingTime Showing Index, which measures the level of buyer activity in touring homes, there has been a notable surge in buyer demand in recent months, as illustrated in the graph below.

As the graph shows, there were a lot more buyers in the first two months of 2023. That's probably because there weren't many homes for sale, so people still looked for homes even when it was cold outside.

To help tell the story of why the latest report is significant, let’s compare foot traffic this February with each February for the last six years (see graph below). It shows this was one of the best Februarys for buyer activity we’ve seen in recent memory.

The most people bought homes in February in 2021 and 2022 (shown in green above), but those were very unusual years for the housing market. So, if we compare February 2023 to normal years before the pandemic, we can see that this year still shows a clear rise in the number of people buying.

The rise in buyers is even more interesting when you consider that mortgage rates went up in February. The 30-year fixed mortgage rate from Freddie Mac went up from 6.09% the week of February 2 to 6.50% the week of February 23. But even with higher rates, more buyers were looking for a home.

Jeff Tucker, Senior Economist at Zillow, says the increased buyer activity could continue:

“More buyers will keep coming out of the woodwork. We always see a seasonal uptick in home shoppers in March and April . . .”

If you’re looking to sell your house, seeing buyers still active in the market this year should be encouraging. It's a sign that there are people out there who might be looking for a home like yours. Working with a real estate agent to list your home now will help you get it in front of people who are ready to buy right now.

Bottom Line

Rising foot traffic is a bright spot for this year’s housing market and indicates that buyers are looking to purchase this year, even with higher mortgage rates. If you’re ready to sell your house, let’s connect.