School’s out, and as vaccination rates rise and America enters a new normal, the U.S. housing market continues along at a frenzied pace, with low interest rates and limited inventory fueling record high sales prices. May saw the median existing-home sales price exceed $350,000, a 24% increase and the largest year-over-year increase since 1999, according to the National Association of REALTORS®. Eager buyers are making multiple offers, some for well over asking price, while others are making offers on homes sight unseen.
Homes on the market in the Kansas City metro area are selling for an average of 103.2 percent of the original list price. That’s a 4.6 percent increase from June 2020! Days on the market decreased to only 17 days—compared to 21 days the previous month, and 45 days in June 2020. Supply from the same time last year decreased 46.7 percent for existing homes and 57.1 percent for new homes, for an average of 50 percent. With that said, there are many more homes available than there were in March. The total number of homes on the market increased from 2,515 in March to 3,499 homes in June. This is still only a 0.9-month supply of homes on the market.
The increase in sales prices comes with a slight decline in existing home sales nationwide, as homebuyers struggle with declining affordability amid a lack of inventory, forcing some buyers to simply wait it out in hopes of more inventory and less competition. Meanwhile, home builders are trying to meet the increased market demand, with housing starts up 3.6% in May from April, according to the Commerce Department. As we ease into new routines and look forward to a post-pandemic future, one thing remains certain: America
Sellers: If we can answer any questions about the market in your neighborhood please reach out. It’s a great time to list your home with us.
Buyers: We are succeeding in helping our clients get into their dream homes in this strong seller’s market. We can assist you too!
Email Miles Rost or call us: 913-451-4888
All stats and information courtesy of KCRAR – the Kansas City Regional Association of Realtors®.
