Homebuyers held off purchasing homes in June due to rising home prices, Credit Suisse reported in their monthly traffic survey of real estate agents.
“Comments from agents in June suggest that buyers are growing increasingly discouraged by economic and employment conditions, and as a result, have made the decision to hold-off on purchases—particularly at current prices,” the company reported.
Out of the 40 markets surveyed, 32 saw lower than expected traffic, five were in line with expectations and three saw better than expected traffic. Those numbers were all a decline from May, when only 28 were below expectations and five saw better than expected traffic.
The only three markets that saw better than expected traffic last month were Columbus, Ohio, Ft. Myers, Florida, and Dallas. Some of the weakest markets were San Diego, New York/Northern New Jersey and Phoenix, which all saw Buyer Traffic Index levels below 30 (50 is neutral, where the traffic met expectations).
New York/Northern New Jersey (traffic index at 23) — “Stalemate. Buyers expect deal and sellers expect rebound in market pricing.”