Rocket Companies' stock plummeted 5.12% at the market open on Tuesday, reflecting investor concerns over deteriorating conditions in the U.S. housing market.

The decline followed the company's citation of a Redfin report showing the typical U.S. homeowner now stays in a home for 12 years, up from 11.8 years in 2024. High housing costs and elevated mortgage rates are discouraging sales and keeping owners in place, particularly in markets like California where tax rules such as Proposition 13 further limit turnover.

For Rocket Companies, a mortgage and real estate services firm, this trend of reduced housing turnover directly threatens its core business of mortgage originations, leading to the sharp intraday sell-off.