Redfin: Housing Experiencing Lowest Turnover Rate Since 1990s

Redfin, Seattle, reported only 28 out of every 1,000 U.S. homes changed hands in the first nine months of this year, the lowest rate since at least the early-mid 1990s.

At 2.77%, the turnover rate was down from 2.78% last year, which was the lowest level since 1995.

There were 37.7% fewer homes sold this year than during the height of the pandemic-buying frenzy. In 2021, 44 of every 1,000 homes changed hands.

Looking back to pre-pandemic norms, 40 out of every 1,000 homes sold in 2019.

“America’s housing market is defined right now by caution,” said Chen Zhao, Redfin’s head of economics research. “Buyers are walking away from deals more often, sometimes due to affordability issues and sometimes because they’re re-evaluating whether now is the right moment to commit. Others aren’t even shopping, waiting instead for prices or mortgage rates to come down. On the other side, many sellers are staying put—either because they’re locked into low rates or unwilling to accept offers below expectations. When both sides hesitate, sales naturally fall to historic lows.”

About 30 out of every 1,000 single-family homes sold in the first nine months of this year. That compares with 22 out of every 1,000 condos and townhouses.

Thirty-nine out of every 1,000 homes were listed for sale in the first nine months of this year, the third-slowest rate of homes being listed in records going back to 2012.

However, the listing rate is a slight increase from 3.7% in 2024 and 3.5% in 2023.