The housing market, mired in low stocks, primed for a competitive winter
Fall has historically been a slow period for the US housing market, but the pandemic housing market still appears to be turning into gangs.
In every month from March through October 2021, the typical American home spent fewer days on the market than in the fastest-selling month from 2016-2020, according to a new Realtor.com report.
In October of 2021, the average home spent 45 days on the market, which is slightly longer than the previous month’s average of 43 days. However, homes are still selling faster than any October in recent history, including 2020 (-8 days) and 2019 (-21 days).
Homes are also more expensive. The average listing price last month was $380,000, up 9% from October 2020 and 22% higher than October 2019.
The pandemic market has been defined by a smaller group of homes for sale. In 636,606 active listings in October, the stock is down 22% from last October and 52% from October 2019.
There were 5,975 homes on contract more than actively listed homes, down from inventory improvements seen since June.
“The fact that we continue to have relatively low stock levels into the latter part of the year suggests that the market is still very competitive and likely to remain so,” says Danielle Hill, chief economist at Realtor.com. “Buyers are facing some real challenges in the market,” she said, noting rising prices, fast-moving sales and rising mortgage rates..
The 50 largest US markets saw a slight increase in annual listing price growth in October, up 5% versus last month’s 4% rate.
At least five metro stations have experienced an annual list price increase of 18%, including Austin (+35.2%), Las Vegas (+27.2%), Tampa (21.8%), Orlando (+20.0%) and Denver (+18.3%). ).
There are some indications that listing price growth may slow nationwide.
While 5% fewer homes underwent a price reduction in October than in 2019, it was up 1% from last October.
Swabna Venugopal Ramaswamy is the Housing and Economics Correspondent for USA TODAY. Follow her on Twitter @SwapnaVenugopal