Weekly home listings hit record low

Median home prices hit record high over 28-day period

National /
Dec.December 02, 2021 02:30 PM
(Getty)

(Getty)

Prospective homebuyers were in for some of the worst market conditions imaginable last week, according to a report from Redfin.

The number of homes on the market hit a historic low during the week ending Nov. 28, Redfin reported: fewer than 539,000 active listings, a 26 percent year-over-year decline. The previous low point this year was in February, when about 577,000 homes were for sale.

For the four-week period ending Nov. 28, active listings declined 23 percent from 2020 and 42 percent from 2019.

With demand still strong and supply low, house prices rose. The first four weeks of November resulted in a record median sale price of $360,375, surpassing the July 25 mark of $359,637. The median sale price represents a 14 percent increase year-over-year from 2020, when it was $316,000, and a 1.5 percent gain from the previous month.

Sellers are aware that the housing market is working in their favor. Asking prices for newly-listed homes in the four-week period were up 12 percent from 2020 and 27 percent from 2019.

The new month could bring even more bad news for prospective buyers.

“The number of homes for sale typically declines another 15 percent in December,” stated Redfin’s chief economist, Daryl Fairweather. “That means that by the end of the year, there will likely be 100,000 fewer homes for sale than there were in February when housing supply last hit rock bottom.”

Buyers also have the misfortune of needing to make one of the biggest decisions of their lives very quickly. In the first four weeks of November, a third of homes found buyers after being on the market for a week or less.

In the four-week period, homes were on the market for a median of 25 days. In 2020, the median was 31 days; in 2019, it was 45 days. Pending home sales were up 8 percent year-over-year and a whopping 49 percent from 2019 in the four-week timeframe.

Buyers with the ability to wait may find conditions more forgiving in the new year, although the uncertainty surrounding coronavirus and its omicron variant clouds the picture.

“I think more new listings will hit the market in the new year, but there will also be a long line of buyers who are queuing up right now,” Fairweather stated.

Buyers can also take heart in the latest S&P CoreLogic Case-Shiller U.S. National Home Price Index. While it showed U.S. home prices increased 19.5 percent year-over-year in September, there was also evidence that the monthly growth in housing prices is flattening out.





    Related Articles

    arrow_forward_ios
    Southern California wildfires (Credit: Getty Images)
    Flame off: Country’s first “wildfire-prepared” home is completed
    Flame off: Country’s first “wildfire-prepared” home is completed
    Island Sotheby’s International Realty agent Dan Omer and Hana Ranch in Maui (Sotheby's International Realty)
    Hawaiian ranch next to Oprah hits market for $75M
    Hawaiian ranch next to Oprah hits market for $75M
    Hana Ranch in Maui. (Sotheby's International)
    Mammoth Maui cattle ranch hits market for $75M
    Mammoth Maui cattle ranch hits market for $75M
    The ranch home built by Johnny Cash. (Douglas Elliman Realty)
    Home built by Johnny Cash on the market for $1.8M
    Home built by Johnny Cash on the market for $1.8M
    Anthony "Fat Tony" Salerno and the Rhinebeck horse farm (Hudson Modern, Getty)
    Rhinebeck farm once owned by mob boss lists for $1.5M
    Rhinebeck farm once owned by mob boss lists for $1.5M
    (iStock, Illustration by Kevin Cifuentes for The Real Deal)
    Some 40 million US homes at risk from extreme 2022 weather
    Some 40 million US homes at risk from extreme 2022 weather
    One of the pools at the Brooklyn Tower. (TheBrooklynTower.com)
    Life Time Group to manage 120,000 square feet of amenities at Brooklyn’s +1,000-foot tower
    Life Time Group to manage 120,000 square feet of amenities at Brooklyn’s +1,000-foot tower
    The U.S. housing market sets new record for home sales and prices in July 2020. (iStock)
    Moody’s chief economist says housing correction — but not crash — is on the way
    Moody’s chief economist says housing correction — but not crash — is on the way
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...