The number of U.S. homes that typically change hands as people relocate for work, retire, or trade up for more living space hasn’t been this low in nearly 30 years. Between January and September, about 28 out of every 1,000 homes changed hands—the lowest U.S. home turnover rate recorded since at least the 1990s, according to an analysis by Redfin.
The home turnover rate represents the number of homes sold divided by the total number of existing sellable properties. While sales data shows whether more or fewer homes are selling in a given period, the home turnover rate helps illustrate how homeowners are staying put longer.
“It’s not healthy for the economy that people are staying put,” says Daryl Fairweather, chief economist at Redfin.
The home sales turnover rate through the first nine months of this year is down about 30% from the average rate over the same periods between 2012 and 2022. Traditionally, opportunities such as a new job or the need for more space when starting a family motivate homeowners to sell and relocate.
The fact that fewer homes are changing hands suggests that people aren’t seeing as many opportunities for employment mobility—or perhaps they can’t afford to sell and buy at today’s prices and mortgage rates.
https://www.businessreport.com/realestate/us-home-turnover-reaches-its-lowest-level-in-decades
