\nFalling mortgage rates have pushed the median U.S. monthly mortgage payment down to $2,616, its lowest level since the start of the year, according to a new report<\/a> from Redfin<\/a>, the real estate brokerage powered by Rocket. The weekly average mortgage rate is sitting at 6.58%, its lowest level in 10 months.<\/p>\n
Lower housing costs are bringing some house hunters off the sidelines. <\/b>Pending home sales rose 1.6% year over year during the four weeks ending August 27. That marks two straight months of increases in pending sales after they fell for most of 2025. (It\u2019s worth noting that sales were especially slow at this time last year as buyers waited for the Fed to cut interest rates amid election uncertainty). Redfin\u2019s Homebuyer Demand Index\u2014a seasonally adjusted measure of tours and other buying services from Redfin agents\u2014is up about 3% from a month ago, and home tours are rising much faster this year than the same time last year.<\/p>\n
\n\u201cBuyers are circling,\u201d said Ali Mafi<\/a>, a Redfin Premier<\/a> agent in San Francisco<\/a>. \u201cHouse hunters are feeling more confident about buying a home now that mortgage rates have started to decline. Some are making offers now, though others are sitting tight, betting that rates will fall further. I\u2019m telling buyers to act now because it\u2019s still a buyer\u2019s market and most sellers are willing to negotiate. If rates do plummet, the market will get competitive.\u201d<\/p>\n But many buyers are still waiting on the sidelines. <\/b>It\u2019s worth noting that Redfin agents in places including Seattle and Nashville didn\u2019t see a bump in demand over the weekend. They say a lot of prospective buyers are waiting until the Fed cuts interest rates in September to buy. But Redfin economists say today\u2019s mortgage rates likely already reflect<\/a> the upcoming rate cut.<\/p>\n \nOn the selling side, new listings are up 1.9% year over year. Though that\u2019s a small uptick, it\u2019s the biggest increase in over two months. Sellers had been pulling back in response to slow homebuying demand, but some on-the-fence sellers may be moving forward now that rates have come down a bit.<\/p>\n \nFor Redfin economists\u2019 takes on the housing market, please visit Redfin\u2019s \u201cFrom Our Economists<\/a>\u201d page.<\/p>\n Leading indicators<\/b><\/p>\n