The U.S. real estate market remains hot ahead of the spring selling season, with existing home sales up 6.7% as of last measure, according to the National Association of REALTORS®. Experts attribute the growth in sales to an uptick in mortgage interest rates, as buyers rushed to lock down their home purchases before rates move higher. Mortgage rates have increased almost a full percentage point since December, with the average 30-year fixedrate mortgage briefly exceeding 4% in February, the highest level since May 2019.
New listings increased 14.0 percent for Single Family homes but remained flat for Townhouse-Condo homes. Pending Sales increased 20.8 percent for Single Family homes and 3.9 percent for Townhouse-Condo homes. Inventory decreased 17.3 percent for Single Family homes and 39.8 percent for Townhouse-Condo homes.
Month’s Supply of Inventory decreased 20.0 percent for Single Family homes and 50.0 percent for Townhouse-Condo homes.
Median Sales Price increased 10.7 percent to $230,900 for Single Family homes and 8.8 percent to $136,000 for Townhouse-Condo homes.
Days on Market decreased 20.6 percent for Single Family homes and 64.1 percent for TownhouseCondo homes.
Inventory was at an all-time low of 860,000 as February began, down 17% from a year ago and equivalent to 1.6 months supply. According to Lawrence Yun, Chief Economist at the National Association of REALTORS®, much of the current housing supply is concentrated at the upper end of the market, where inventory is increasing, while homes priced at the lower end of the market are quickly disappearing, leaving many first-time buyers behind. The shortage of homesis boosting demand even further, and with bidding wars common in many markets, it’s no surprise sales prices continue to soar.
If you are wondering how current national and global situations might be impacting your property’s value, your neighborhood, or the Real Estate market in general, we are happy to provide more specific information.
If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.
