West Coast buyers are in luck: Home buyers in that region tend to stand the best chance of winning the first home they make an offer on, according to a new analysis from Redfin. San Jose, Seattle, and San Diego posted the largest year-over-year increases in the share of home buyers winning the first home they made an offer on.
All home buyers may be faring better on that front, though: Fifty-six percent of buyers nationwide who purchased a home in the first quarter closed on the first home they made an offer on, the highest first-offer success rate in three years, Redfin notes. Redfin researchers analyzed the home offer and purchase data for thousands of buyers who purchased homes with a Redfin agent nationwide for the past five years.
“Last year home buyers had to pull out all the stops to land a home in competitive West Coast markets, but this year there are more homes for sale and the odds are more in the buyer’s favor,” says Daryl Fairweather, Redfin’s chief economist. “In San Jose, the market has dramatically slowed from a year ago, and it’s actually now easier to get an offer accepted in San Jose than in many other parts of the country.”
For example, in the San Jose metro area, 63 percent of buyers who purchased a home in the first quarter of this year successfully purchased the first home they made an offer on. A year ago, only 25 percent of San Jose home buyers were successful with their first offers.
In San Diego, more than half—53 percent—of buyers last quarter closed on the home they made their first offer on, up from 38 percent a year earlier.