Roughly one-third (31.9 percent) of U.S. home purchases were paid for with all cash in October, up from 29.9 percent a year earlier and the highest share since 2014, according to new data from Redfin. The share of home purchases using all cash shot up in the beginning of 2021 after reaching a record low of 20.1 percent in April 2020 and has remained elevated.

“Today’s affluent homebuyers are motivated to pay in cash because the surge in mortgage rates makes them want to avoid loans, and the high monthly interest payments that come with them, altogether,” Redfin Economics Research Lead Chen Zhao said in a release. “Mortgage rates have declined in recent weeks but are still hovering above 6 percent. During the pandemic housing boom, buyers were incentivized to pay in cash because of low rates, which drove up competition and made all-cash offers an effective bargaining chip for those who could afford them.”

All-cash home purchases increased in 29 of the 39 metros in Redfin’s analysis from October 2021 to October 2022. They increased most in Riverside, Calif., where they rose to 38 percent of all home sales from 19.2 percent. It’s followed by Cleveland (47 percent, up from 32 percent), Cincinnati (43.9 percent, up from 29.6 percent), Montgomery County, Pa. (31.2 percent, up from 22.7 percent) and Philadelphia (37.1 percent, up from 29.4 percent).

All-cash purchases were most common in Florida in October. Jacksonville, where roughly half (49.7 percent) of homes were bought in cash in October, comes first, followed by West Palm Beach (48.6 percent). Next were a pair of Ohio metros: Cleveland and Cincinnati, which are also on the list of places where cash purchases rose most. They’re followed by Atlanta at 41.3 percent, according to Redfin.

Expensive West Coast metros dominate the list of places with the lowest share of all cash-purchases. They’re least common in the Bay Area. Just 14.3 percent of home purchases in San Jose, Calif., and 16.5 percent in Oakland, Calif., were made in cash. Next was Seattle (19 percent), Los Angeles (19.2 percent) and Newark, N.J. (20 percent).

Roughly one in seven (14.6 percent) mortgaged home sales used an FHA loan, the highest share in nearly two years. That’s up from 13.1 percent a year earlier and a record low of 10.4 percent in April. Overall, conventional loans are the most common type for homebuyers, making up 78.5 percent of all home sales that used a mortgage in October. That’s down from 80.5 percent a year earlier but largely in line with where the share has stood since mid-2020.

FHA loans, which typically allow for lower down payments, have ticked up in popularity in response to the slowdown in housing-market competition. They were less common at the height of the pandemic buying boom when sellers were receiving multiple offers and would often choose the one with strongest financing.

“I’m working with several FHA buyers,” Cleveland Redfin Agent Jerry Quade said. “They’re back in the market after bowing out for the last two years, hoping to secure a relatively low-priced home with no competing offers and a high likelihood that the seller will accept their loan type.”

The share of mortgaged sales using VA loans, which also have lower qualification thresholds for borrowers, rose to 6.9 percent in October, the highest share in over two years. That’s up slightly from 6.4 percent a year earlier and up from the record low of 5.5 percent set in mid-2021.