What is the expected impact of this sentiment on the broader housing market and related real estate stocks?

Impact on the broader housing market – The Redfin survey shows that nearly half of U.S. workers are postponing or canceling big‑ticket purchases because of job‑security worries. That level of consumer hesitation translates directly into a near‑term drag on home‑buyer demand, especially in the “move‑up” and first‑time‑buyer segments that are most price‑sensitive. With household formation already slowing and mortgage rates still above 6 %, the pipeline of pending home sales is likely to shrink further, putting downward pressure on home‑price appreciation and possibly nudging the FHFA House Price Index back toward flat or modest‑negative growth for Q4‑2025. Builders that rely on brisk sales to fund inventory (e.g., D.R. Horton, Lennar) may see delayed revenue recognition, while rental‑focused REITs could benefit from a shift toward leasing as buyers stay on the sidelines.

Implications for real‑estate equities – The –35 sentiment score for REDF signals a bearish short‑term outlook for listed residential‑brokerage and broader housing‑related stocks. Technicals reinforce the narrative: the SPDR S&P Homebuilders ETF (XHB) is holding below its 50‑day EMA and has formed a descending wedge on the daily chart, suggesting further downside to the $75‑$78 support zone. Similarly, residential‑REITs such as AvalonBay (AVB) and Equity Residential (EQR) are trading near recent lows with MACD turning negative, indicating a potential continuation of the downtrend. Traders could consider a modest short bias on XHB or a put spread on high‑beta builders (e.g., DHI, NVR) while keeping a watchful eye on any macro‑data surprise (e.g., a stronger‑than‑expected payrolls report) that could lift sentiment. Conversely, high‑quality, dividend‑paying REITs with strong balance sheets and a focus on multifamily rentals (e.g., UDR, APA) may act as relative “defensive” bets and could be positioned long on a risk‑off bounce. Overall, the survey’s findings point to a near‑term softening in housing demand that should weigh on most residential‑sector equities, with the exception of well‑capitalized, rental‑oriented REITs that can capture the shift from buying to leasing.