Atlanta, Fort Worth, and Jacksonville recorded the highest rates of canceled home-purchase contracts among major US metros in May, according to a new report from Redfin. In Atlanta, 18.8% of pending sales fell through, followed by Fort Worth at 18.1% and Jacksonville at 17.9%. Nationwide, 13.6% of deals were canceled, a rate that has held steady for four months. Four of the ten metros with the highest cancellation rates were in Texas, and three were in Florida, all of which have shifted from pandemic-era seller's markets to strong buyer's markets with far more sellers than buyers. In contrast, San Francisco had the lowest cancellation rate at just 3.9%, driven by a booming market tied to the AI industry.
Rocket Companies IncHigh cancellation rates indicate weak housing demand, reducing mortgage origination volume for Rocket Companies.