Redfin’s CEO says once more Americans are comfortable letting others into their homes, the housing market could boom even further. What the market needs right now, and what would heat up the already hot market, are more homes being put up for sale, according to Redfin CEO Glenn Kelman. In addition, Kelman told CNBC that the sizzling housing market cannot be sustained forever. Historically low mortgage rates will increase eventually. But Kelman believes those below 3% rates may linger through 2021.
Home sales have been a point of economic strength despite the significant damage caused by the pandemic, driven in part by the increased geographic flexibility of remote work.
Redfin’s total revenue for the first nine months of 2020 is up 17.4% compared with the same period last year. Since its March low, Redfin’s stock is up more than 400%. Additionally, the iShares U.S. Home Construction ETF is up more than 125% since its pandemic-era bottom in mid-March.
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