SEATTLE-Higher mortgage rates are slowing thepace of home sales in a variety of ways, two online brokerage firmssay. Locally based Redfin says a survey ofprospective buyers found that a majority blame rising rates formaking homes less affordable as well as for influencing them tochange the pace of their search, while ZipRealtyreported that the average length of time a home is on the marketticked upward in its most recent report.

“Higher mortgage interest rates and the seasonal slowdown thattypically occurs in the fall are expected to cause a degree ofmoderation in housing market trends,” says LannyBaker, president and CEO of Emeryville, CA-basedZipRealty. “For the first time in several months, the median dayson market ticked upward in the current report to 28 days from 27days a few weeks ago. More than half of the cities studied saw thelength of time it takes to sell a house rise by a day or two.”

However, Baker adds that sellers continue to bring an increasingamount of for-sale inventory onto the market. There were 173,000new listings in the recent 30-day period, a 10% increase over theprior year. “And those new listings are selling well, with anaverage sold-to-list price ratio of 99.1%,” he says.

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Paul Bubny

Paul Bubny is managing editor of Real Estate Forum and He has been reporting on business since 1988 and on commercial real estate since 2007. He is based at ALM Real Estate Media Group's offices in New York City.