Recent analysis by the Real estate brokerage firm Redfin says more homebuyers in Florida are walking away from home purchases.
Redfin reports that more than 15 percent of home purchases fell through in July, marking the highest rate on record since 2017.
Nationwide, San Antonio, Texas was the top city with the most cancellations, equal to 22.7 percent. In Florida, Fort Lauderdale, Fla. (21.3 percent), Jacksonville, Fla. (19.9 percent), and Atlanta (19.7 percent) also made the top five of the highest in-home cancellations.
While Florida is still a hotspot for people moving in from other states, Redfin says the state is currently home to some of the slowest housing markets in the U.S.
Why the cooling off? States like Florida and Texas have been building more homes than anywhere else in the country, which has boosted inventory.
Home builders in Florida also attribute consumer cancellations and a slowdown due to the uncertainty with tariffs, record-high prices, and an increase in mortgage rates.
Though the new trend may help buyers, it isn’t benefiting sellers.
The new data by Redfin shows more homes are staying on the market longer than usual. In July, the normal home that went under contract was 43 days on the market. Redfin says that was the time for the contract to go back to July 2015.
It was worse for cities in South Florida. West Palm Beach and Fort Lauderdale had houses sitting on the market for longer than 90 days. Three years ago in 2022, The average U.S. homes only spent 24 days on the market.
