As the weather warms and pandemic restrictions ease across much of the country, the U.S. housing market shows little sign of cooling. Robust buyer demand, fueled by low mortgage rates, continues to outpace supply, which remains near historic lows. Nationwide, inventory remains much lower than it was at this time last year, and sales prices are surging as a result.
- New Listings increased 19.5 percent for Single Family homes and 18.4 percent for Townhouse/Condo homes.
- Pending Sales increased 17.7 percent for Single Family homes and 119.8 percent for Townhouse/Condo homes.
- Inventory decreased 56.8 percent for Single Family homes and 47.9 percent for Townhouse/Condo homes.
- Median Sales Price increased 24.5 percent to $460,601 for Single Family homes and 20.0 percent to $210,000 for Townhouse/Condo homes.
- Median Time to Contract decreased 64.5 percent for Single Family homes and 29.5 percent for Townhouse/Condo homes.
- Months Supply of Inventory decreased 68.3 percent for Single Family homes and 64.2 percent for Townhouse/Condo homes.
With such limited supply of existing homes to purchase, all eyes are on home builders to provide a much-needed boost of inventory to the market to help meet buyer demand. However, increasing material and labor costs, along with supply chain challenges, have contributed to significantly higher construction costs, with builders passing these costs on to homebuyers. And while the warmer temperatures, rising sales prices, and the reopening of the economy may draw more sellers to the market, historically low levels of homes for sale are likely to continue for some time.