Sales pace and prices at highest ever in June, according to Redfin. Seasonally adjust sales fell -1.2% between May and June.
New Phase in Housing Market?
In a newly released report from Redfin, this tech-powered brokerage indicated that seasonally adjust home sales dropped -1.2% between May and June. Despite this decrease in sales, home sales were still +22% up from last year…but remember that last year during late-spring, the US housing market was essentially shut down from the COVID pandemic.
Even so, Redin’s Chief Economist Daryl Fairweather said, “In June we entered a new phase of the housing market. Home sales are starting to stall because prices have increased beyond what many buyers can afford. This summer I expect home prices to stabilize as more homeowners list their homes, realizing they likely won’t fetch a higher price by waiting longer to sell. But as rents rise, homeownership will become appealing to more people, and home sales will rev back up by 2022.
Median Home Sale Price Hits Another All-Time High in June
Median home sale prices have risen 111 consecutive months and in June, the national median home sale price hit another record-breaking high of $386,888, according to Redfin. This $386,888 represents an increase of +3% month-over-month and a whopping +25% increase from June 2020 when the national median home sale price was $309,966.
The largest increases in median sale prices were seen in…
- Austin – +43%
- Lake County IL – +31%
- Phoenix – +30%
National Inventory Hit Record Low in June
While the national median sale price hit a record high in June, the national inventory hit a record low with seasonally adjusted active listings down -28% from June 2020.
However, seasonally adjusted new listings rose +8% y/y. The greatest increases in new listings were seen in…
- San Jose – +38%
- Tacoma – +35%
- Milwaukee – +32%
Simultaneously, 15 of the country’s largest metros saw new listings decline. The most dramatic new listing declines were seen in…
- Baton Rouge – -51%
- Allentown PA – -47%
- Louis MO – -41%
Overall, the average home sold in just 14 days, another record low, compared to 39 days in June 2020.
Eye-Popping 56% of Homes Sold Above List Price
Another record-breaking data point – 56% of all homes sold in May/June were sold above list price. This record-breaking 56% pushed the average sale-to-list price ratio of sold homes to a new high of 102.6%. One year ago, the average sale-to-list price ratio stood at 98.5%.
Thanks to Redfin and Inman.
