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Redfin Predicts 2017 Will Be the Fastest Housing Market on Record

Redfin Experts Offer Seven Real Estate Predictions for 2017 SEATTLE–In the new year, home price growth will hold steady and homes will sell...

Housing Costs, Redfin, Eviction rates Neighborhoods where people spent the largest portions of their income on rent saw the biggest year-over-year increases in families being evicted in 2014 SEATTLE--In 2015, an estimated 2.7 million Americans faced eviction, according to Redfin (www.redfin.com), the next-generation real estate brokerage. In order to attain this figure, Redfin analyzed more than six million eviction records across 19 states where data was available provided by American Information Research Services, Inc. to predict the number of evictions for each U.S. county as well as the country at large. Redfin also examined the effects of rising home prices at neighborhood and metro levels on local eviction rates. Redfin found that neighborhoods with the highest median rent-to-income ratios had much higher eviction rates (evictions per renter household) than neighborhoods where residents spent less of their income on rent. The data also revealed that the 15 metros with the biggest increases in the portion of income spent on rent from 2011 to 2014 (an average increase of 5.8%) experienced a 3.8 percent increase in the number of evicted families from 2013 to 2014. The other 56 metros, taken together, experienced a slight decline in evictions (-1.4%)—supporting the idea that growing housing costs precipitate higher rates of evictions. “Evictions are a silent threat to America’s cities. As alarming as Redfin’s finding on evictions is, it likely undercounts the true number of families forced out of their homes each year since many evictions happen outside the court system,” said Redfin chief economist Nela Richardson. “More families are renting than ever before, and roughly half of them are spending too much of their income on rent. Stagnant wages, a lack of affordable housing and escalating rents means that many families are living just a paycheck or two away from facing eviction, which can often lead to job loss or even homelessness. This is a national crisis that requires national attention.” This growing number of evictions in cities where rents are rising faster than incomes is symptomatic of a national affordability crisis. As of 2015, more than 20 million renters—more than half of all renters in the U.S.—were cost burdened, meaning they spent at least at least 30 percent of their income on rent. That’s up from almost 15 million in 2001. And while rents have risen 66 percent since 2000, household incomes have only risen 35 percent. In some parts of the country, especially the coasts, more housing supply could make housing more affordable and ease the eviction rate. Other metro areas would need to see higher wage growth. A measure to ensure tenants being evicted have legal representation has proven successful at reducing the eviction rate in New York City, and other cities are looking to enact similar policies. To read the full report, complete with an infographic as well as data and charts, please visit: https://www.redfin.com/blog/2016/12/millions-of-renters-face-eviction-why-todays-housing-market-is-partially-to-blame.html. About Redfin Corporation Redfin (www.redfin.com) is the next-generation real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer’s favor. Founded by software engineers, Redfin has the country's #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the highly accurate automated home-value estimate. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 80 major metro areas across the U.S. The company has closed more than $31 billion in home sales and saved customers more than $335 million in fees through 2015. For more information or to contact a local Redfin real estate agent, visit www.redfin.com. To learn about housing market trends and download data, visit the Redfin Data Center.
News Releases

2.7MM Renters Faced Eviction Last Year, Redfin Estimates; Rising Housing Costs Precipitate Increases in Eviction Rates

Neighborhoods where people spent the largest portions of their income on rent saw the biggest year-over-year increases in families being evicted in 2014...

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Redfin Housing Demand Index Cooled in October, Dropping to Three-Year Average

After a Strong September, Fewer Buyers Toured Homes and Made Offers in October SEATTLE– The Redfin Housing Demand Index declined 3.5 percent to...

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Redfin Housing Demand Index Picked Up in July; Still Fell Short of Last Year’s Levels

Homebuyer Demand Up 6% Month Over Month, Down 14% from Last July San Diego Posted 30% Monthly Increase in Demand; Boston Demand Fell...

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Redfin: U.S. Housing Market Set New Records for Speed and Competition in June

Denver was the Fastest Market; The Bay Area was the Most Competitive SEATTLE– June 2016 marked the fastest, most competitive housing market since...

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Redfin: U.S. Housing Market Accelerated to its Fastest Pace on Record in May

Sales Increased 7 Percent, Driven by Growth in Affordable Metros SEATTLE — June 16, 2016 — The U.S. housing market accelerated to its...

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Redfin: Denver, Portland and Seattle are the Hottest Markets of 2016

Redfin-Designated Hot Homes Make Up a Larger Share of Listings in These Western Cities Than in Any Other Market SEATTLE — June 9,...

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Redfin Report: New Home Listings Fell Nationwide in April for the First Time in Nearly Two Years; Sales Slipped in the West

SEATTLE–U.S. home prices increased 4.8 percent year over year in April, according to Redfin (www.redfin.com), the next-generation real estate brokerage. April marked the...

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Redfin: Persistent Housing Supply Shortage is Yet Another Thing to Blame on Millennials

Survey of 2,200 Homeowners Reveals Five Major Differences Between Millennials and Their Elders; Some Have Big Implications on Housing’s Future SEATTLE — May...

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Redfin Report: Luxury Home Prices Fell 1 Percent in First Quarter

SEATTLE — May 3, 2016 — Global economic volatility rocked the U.S. luxury housing market in the first quarter of 2016, as the...

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Redfin Report: The Nation’s Most Walkable Cities are Becoming Even More Walkable

Long Beach is the Only Southern California City to Rank Among the 10 Most Walkable Cities of 2016 SEATTLE — April 28, 2016...

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Condo Market in Seattle Continues at Slow Progression

By Kristin Bentley Over the last five years there have consistently been approximately ten times as many apartments built in the Puget Sound...

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