As mortgage rates move closer to 7% and housing prices continue to inch higher, more and more homes are sitting on the market. In fact, December 2024 saw half of all active listings languish for 70 days, up from 61 the previous year.
Analysts agree that overpricing is the main cause for houses to be on the market for so long. The 2021-22 buying spree – when interest rates were more half what they are today – is long over and many sellers have failed to adjust their expectations – and their prices – accordingly.