As of April 2021, homes are selling lightning fast as we experience a continuing inventory crunch! Nationally, the inventory of homes actively for sale in April decreased by 53.0% over the past year. This amounted to 554,000 fewer homes actively for sale on a typical day in April compared to the previous year. But, also in April, newly listed homes grew by 32.6% on a year-over-year basis compared to the onset of the COVID-19 pandemic last year.
One reason home sales can continue to occur at high levels despite relatively limited inventory is that homes are selling lightning fast. The total number of unsold homes nationwide is down 21.9% percent from April 2020.
The inventory of homes actively for sale in the 50 largest U.S. metros overall decreased by 51.1% over last year. It’s a further deceleration compared to last month’s 50.5% decrease, but, hopefully signaling a leveling off in the rate of decline. Since the South (including Texas) was the last region to be affected by the initial COVID-19 outbreak and its April 2020 numbers reflected a less COVID-affected environment, it is still seeing the largest year-over-year decline in active listings (-61.9%), compared to other regions across the country. For the same reason, southern metros such as Dallas are also seeing the lowest year-over-year growth in newly listed homes at (+7.9%).
Homes Are Selling Lightning Fast
Homes for sale throughout the U.S. in April continued to sell more quickly than last year, as buyer demand remains strong. The typical home spent 43 days on the market this April, which is 20 days less than last year. It is also 18 days less than the typical time on market in April 2017 to 2019, indicating continuing record-setting demand for housing.
In the 50 largest U.S. metros, the typical home spent 34 days on the market, which is 17 days less on the market, on average, compared to last April. Among these 50 largest metros, the time a typical property spends on the market has decreased the most in the Northeast by 21 fewer days, followed by the South at 18 fewer days, the Midwest at 16 fewer days, and the West at 15 fewer days.
Listing Prices Continue to Rise
The median national home price for active listings grew by 17.2% over last year and reached $375,000 in April. The median listing price of $375,000 is a new all-time high.
Active listing prices in the nation’s largest metros grew by an average of 11.6% compared to last year, but is slightly lower than last month’s rate of 12.1%, indicating a slight cooling in the nation’s largest metros compared to the rest of the country. Among the largest 50 metros, listing prices are increasing and for southern metros such as Dallas, they are growing at an average rate of 11.7%.
The largest metro in Texas seeing an whopping increase was Austin with (+40.6%) median listing price in April. Who knows if this will sort of increase will hit the Dallas area? I will keep you posted!
Have questions about the current real estate market? Feel free to give me a call.
Beth Brake REALTOR®
Positively changing your life as you move toward your dreams.