Homes on the market in the Kansas City metro area are selling for an average of 98.9 percent of the original list price. That’s a 3.2 percent decrease from March 2022. Days on the market increased slightly to 43 days in March—compared to 27 days just one short year ago. Supply from the same time last year increased 12.5 percent for existing homes, and increased 103.2 percent for new construction homes, for an increase of 40.0 percent on all of the residential supply combined. That leaves KC with a 1.4 months supply of homes on the market.
Currently, there are more homes available in our market now than compared to the winter season last year. Looking at the total number of homes on the market a year ago, there were 3,584 in January, 3,515 in February, and 3,947 in March of 2022. More recently, the March 2023 home inventory was at 4,478! We have seen inventory gradually increase in the past year, and we are hopeful that this coming spring will bring moderating interest rates and even more homes on the market in Kansas City.
The majority of the Kansas City metro is still in a seller’s market, but not all areas are alike. Exact data varies from county to county, and for different home prices. Always consult with your Agent for personalized information. Email Miles Rost or Nicole Laufenberg with questions about the market in your current or future neighborhood. You can also call us at 913-451-4888.
NATIONAL NEWS
Nationally, existing home sales jumped 14.5% month-over-month as of last measure, the first monthly gain in 12 months, and representing the largest monthly increase since July 2020, according to the National Association of REALTORS® (NAR). The sudden uptick in sales activity stems from contracts signed toward the beginning of the year, when mortgage rates dipped to the low 6% range, causing a surge in homebuyer activity. Pending sales have continued to improve heading into spring , increasing for the third consecutive month, according to NAR.
Monthly sales might have been even higher if not for limited inventory nationwide. At the current sales pace, there were just 2.6 months’ supply of existing homes at the beginning of March, far below the 4 – 6 months’ supply of a balanced market. Inventory remains suppressed in part because of mortgage interest rates, which nearly hit 7% before falling again in recent weeks. Higher rates have continued to put downward pressure on sales prices, and for the first time in more than a decade, national home prices were lower year-over-year, according to NAR, breaking a 131-month streak of annual price increases.
In the Kansas City metro area, the current average home sales price is $321,263, and the median is $270,000, which hits well below the current national median of $467,700, keeping homeownership affordable in Kansas City.
All stats and information courtesy of KCRAR – the Kansas City Regional Association of Realtors®, except the national median home sale price, which is courtesy of the Federal Reserve Economic Data.
