Home Price Gains Continue As Sellers Ask For Near-Record High Prices

Heading Into The End Of The Year, You May Be Wondering If It’s Still A Good Time To Sell Your House. 

In each month from March-October 2021, the typical U.S. home spent fewer days on market than in the fastest-selling month in 2016-2020. 

Additionally, homes sold within a month or less in nearly one-quarter of the 50 largest U.S. markets, while buyers in just four metros saw an increase in time on the market in October. 

With buyers still searching, the majority of for-sale homes already under contract and fewer new listings coming onto the market in October, active inventory took a step back from yearly improvements were seen since June.

The typical U.S. home spent 45 days on market in October, moderating slightly from last month’s pace (43 days.) However, homes still sold more quickly than in any October in recent history, including 2020 (-8 days) and 2019 (-21 days). Relative to national time on the market in October, homes sold at a faster pace in the 50 largest U.S. metros in October, at an average of 39 days (-8 days year-over-year).

Many factors could be enabling buyers to persist, including rising mortgage rates and surging rental prices. Looking at the bigger picture of the pandemic, increased adoption of technology could be playing a key role in helping buyers move further along in the process virtually. 

The number of homes for sale in the U.S. continues to lag, reflecting the mismatch of strong buyer demand with more typical fall seller activity levels. While October saw fewer new sellers than last year, a number of factors suggest that buyers are still relatively active, including the record-fast home sales pace.

home price gains continue as Sellers ask for near-record high prices 

 For the third straight month, the U.S. median listing price remained near record-highs and steadily increased at a strong single-digit pace in October. Price gains continue moderating from the double-digit pace seen earlier this year, a potential indication that the housing market is transitioning toward a more sustainable long-term growth pace. However, the spring and summer frenzy has made a lasting impact on affordability challenges as buyers continue to quickly buy up the tight inventory of existing homes, fewer new sellers enter the market and the new home supply gap widens.

The U.S. median listing price was $380,000 in October, remaining near July’s record-high for the third month in a row. National listing price growth also held steady at a high single-digit pace, up 8.6% year-over-year in October.

National listing price growth has been moderating from the double-digit pace seen earlier this year. However, this largely reflects a shift in the mix of for-sale inventory, with yearly median listing price growth for a typical 2,000 square-foot single-family home still at double-digits in October (+16.7%). Additionally, the share of sellers making listing price adjustments[1] still lags behind 2018-2019 levels, despite growing 0.8% year-over-year in October.

The 50 largest U.S. markets saw a slight uptick in annual listing price growth in October, increasing by an average of 5.2% versus last month’s rate of 4.1%. The western (+9.7%) and southern regions (+9.4%) led the nation in annual listing price gains, up by at least 18% in metros like Austin (+35.2%), Las Vegas (+27.2%), Tampa (21.8%), Orlando (+20.0%) and Denver (+18.3%).

Heading into the end of the year, you may be wondering if it’s still a good time to sell your house.

Here’s the latest data from the National

Association of Realtors (NAR) says..

Housing inventory is lower than last year by 13%. 

How This Benefits You:

When inventory is low, your house is in the spotlight and will get attention from many eager buyers. 

Since September 2020, home prices nationwide are up 13.3%

How This Benefits You:

Higher home prices mean your house may sell for more than

you’d expect. Homes are on the market for a median of just 17 DAYS

How This Benefits You: 

A fast sale means you can close this chapter and move on to your next home sooner.

Sellers are receiving an average of 3.7 OFFERS

How This Benefits You: 

You’ll likely have several offers to choose from and can pick the one that’s best for you.

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☎️ Feeling motivated? If you’re ready to sell and capitalize on today’s market, let’s connect. we would love to help you. 

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