SANTA CLARA, Calif.,
Sept. 2, 2021 /PRNewswire/
-- August housing data shows early signs of sellers beginning
to compete for buyers, according to the Realtor.com®
Monthly Housing Report released today. As inventory and new
listings continued to improve in August, the rate of sellers making
price adjustments1 has begun to approach more normal
levels.
U.S. housing inventory declined 25.8% year-over-year in August,
an improvement over last month (-33.5%). New listings were up 4.3%
from last year as new sellers continued to list entry-level homes
in more affordable price ranges. Additionally, the share of sellers
who made listing price adjustments grew 0.7% year-over-year to
17.3% of active inventory – the highest share in 21 months and
closer to typical 2016-2019 levels.
"Low mortgage rates have motivated homebuyers to endure this
year's challenging market and now some buyers are starting to see
their persistence pay off. This month, new sellers added more
affordable entry-level homes to the market compared to last year,
while others began adjusting listing prices to better compete with
an uptick in inventory," said Realtor.com® Chief
Economist Danielle Hale. "It's still
a strong seller's market, with homes selling quickly at record-high
prices. But now a home priced well and in good condition may see
two or three bids compared to 10 last year. For sellers not seeing
as many offers, it may be worth revisiting pricing strategies as
buyers continue searching for homes that fit their budgets."
Inventory continues to improve as new sellers list more
entry-level homes
While August marked the fourth consecutive
month of national inventory improvements from the steepest 2021
declines seen in April (-53.0%), the U.S. housing supply is still
short 223,000 active listings compared with last year. Inventory
was improving at a faster pace across the 50 largest U.S. markets
in August, down an average 20.7% year-over-year, and six metros
like Washington, D.C. (+17.1%) saw
inventory surpass 2020 levels.
Additionally, 432,000 new listings hit the national housing
market in August, an increase of 18,000 over last year. Continuing
last month's trend, more new sellers added to the share of
entry-level homes (+6.4%), defined as single-family homes in the
750-1,750 square foot range, whereas listings with 3,000-6,000
square feet declined 4.6% in August. Virginia Beach (+17.0%),
Milwaukee (+16.7%) and
Tampa (+13.7%) posted the highest
yearly gains in the share of entry-level homes.
Across the 50 largest markets, new listings increased an average
of 5.1% year-over-year in August. Regionally, the Midwest saw the
biggest increase in newly-listed homes over last year (+12.5%),
with Columbus, Ohio (+25.6%) and
Cleveland, Ohio (+21.6%) taking
two of the top five spots by highest new listings growth over last
year. The South also saw a sizable yearly increase in new sellers
in August (+6.1%), with Louisville,
Ky. (+22.8%), Baltimore
(+20.2%) and New Orleans (+19.9%)
rounding out the top five metros with the biggest new listings
gains.
Listing price growth remains high as price adjustments
approach more typical levels
The U.S. median listing price
increased 8.6% year-over-year to $380,000 in August, just 1.3% below last month's
record price ($385,000). Yearly price
growth continued moderating month-to-month in August, down from
July (+10.3%), driven in part by the inventory mix shifting to
include a higher share of smaller homes at lower price points. With
first-time homebuyer demand still high in August, the entry-level
home price ($235,000) grew 17.6%
year-over-year, faster than the 15.3% increase in 3,000-6,000
single-family home prices ($749,000).
However, overall yearly price growth remained historically-high in
August, with only two months during the 2017-2019 period meeting or
exceeding the month's growth rate over last year.
Over one-third (18) of the 50 largest metros posted double-digit
price gains over last year in August. Among the four primary U.S.
regions, the highest yearly price increases were in the West
(+9.3%) and South (+7.4%). Markets in these regions also dominated
the top 10 list of metros with the biggest year-over-year price
growth, at five each, including: Austin (+36.0%), Las
Vegas (+22.9%), Tampa
(+20.0%), Riverside, Calif.
(+17.6%) and Orlando (+15.4%).
Many of the metros where price growth was highest in August also
saw a rise in listing price adjustments, including Austin, at a 4.1% increase in the share of
price drops over last year. With Austin median home price ($544,000) up by over one-third of last year's
levels in August, 23.8% of sellers in the metro made a price
reduction, potentially to help compete with higher numbers of new
sellers than last year (+19.6%). Additionally, as Austin first-time buyers pursued new inventory
of relatively affordable entry-level homes, entry-level home prices
($404,000) posted a significant gain
of 47.9% year-over-year in August.
"With big city employers increasingly meeting talent in more
affordable secondary metros in recent years, Austin has become one of the nation's most
popular next gen tech hubs and hottest housing markets. However,
data shows that even as some sellers are starting to compete for
home shoppers in Austin, buyers
still face fierce competition for a limited number of homes.
Homebuyers looking for their next home in a tight market can use
features like those on Realtor.com® to set up price
alerts for new listings that match their criteria, or finetune
price adjustments to surface homes closer to their budgets," said
George Ratiu,
Realtor.com® Manager of Economic Research.
Homes continue flying off the market; seasonal norms slowly
take hold
The typical U.S. home spent 39 days on the market
in August, 17 days faster than last year and 24 days faster than in
the same month during a more typical year from 2017-2019, on
average. However, time on market continues to moderate from the
record-fast pace seen earlier in the pandemic, at two days slower
in August than in June (37 days). Nashville had the fastest time on market, at a
median of 18 days.
The pace of home sales was even faster across the 50 largest
U.S. metros, averaging just over a month at 33 days in August, but
the yearly gap is shrinking more quickly (-12 days). Although the
South saw the steepest decline in time on market (-17 days), the
pace of home sales moderated from July (-22 days) across the region
and in many of the fastest-selling metros. In August, Miami (-34 days), Jacksonville (-26 days) and Raleigh (-24 days) saw the biggest drops in
time on market compared to last year.
August 2021
Housing Metrics Overview – National over Time
|
Metric
|
August 2021
(where
applicable)
|
August 2021
Year-over-Year
|
August 2021 over
August
2019
|
Median Listing
Price
|
$380,000
|
+8.6%
|
+19.6%
|
New
Listings
|
432,000
|
+4.3%
|
-8.6%
|
Active
Listings/Inventory
|
641,000
|
-25.8%
|
-52.8%
|
Time on
Market
|
39 days
|
-17 days
|
-24 days
|
August 2021
Housing Overview – Top 50 Largest Metros
|
Metro
|
Median Listing
Price
|
Median Listing
Price YoY
|
Active
Listing
Count YoY
|
New Listing
Count YoY
|
Median Days on
Market
|
Median
Days on
Market Y-Y
|
Price Reduced
Share
|
Price
Reduced
Share Y-Y
|
Atlanta-Sandy
Springs-Roswell, Ga.
|
$398,000
|
12.2%
|
-32.4%
|
2.4%
|
34
|
-13
|
16.3%
|
-1.8%
|
Austin-Round Rock,
Texas
|
$544,000
|
36.0%
|
-28.1%
|
19.8%
|
23
|
-20
|
23.8%
|
4.1%
|
Baltimore-Columbia-Towson, Md.
|
$335,000
|
-4.3%
|
-5.3%
|
20.2%
|
34
|
-8
|
22.2%
|
4.9%
|
Birmingham-Hoover,
Ala.
|
$273,000
|
0.1%
|
-25.7%
|
9.3%
|
38
|
-14
|
14.8%
|
-1.7%
|
Boston-Cambridge-Newton, Mass.-N.H.
|
$659,000
|
-2.9%
|
-21.2%
|
-9.0%
|
31
|
-7
|
13.7%
|
-2.2%
|
Buffalo-Cheektowaga-Niagara Falls, N.Y.
|
$229,000
|
1.8%
|
-5.1%
|
0.3%
|
33
|
-11
|
15.2%
|
-1.1%
|
Charlotte-Concord-Gastonia, N.C.-S.C.
|
$385,000
|
4.1%
|
-29.2%
|
6.0%
|
28
|
-15
|
19.0%
|
1.0%
|
Chicago-Naperville-Elgin, Ill.-Ind.-Wis.
|
$341,000
|
-2.3%
|
-16.8%
|
-4.9%
|
36
|
-7
|
20.9%
|
0.6%
|
Cincinnati,
Ohio-Ky.-Ind.
|
$320,000
|
-2.3%
|
-3.2%
|
13.9%
|
31
|
-13
|
20.2%
|
-0.7%
|
Cleveland-Elyria,
Ohio
|
$200,000
|
-14.0%
|
0.3%
|
21.6%
|
39
|
-11
|
23.1%
|
0.1%
|
Columbus,
Ohio
|
$300,000
|
-5.2%
|
2.0%
|
25.6%
|
21
|
-15
|
22.2%
|
-0.1%
|
Dallas-Fort
Worth-Arlington, Texas
|
$396,000
|
10.1%
|
-37.3%
|
-0.7%
|
31
|
-15
|
21.8%
|
-3.6%
|
Denver-Aurora-Lakewood, Colo.
|
$600,000
|
11.2%
|
-34.0%
|
-5.9%
|
22
|
-14
|
20.9%
|
-3.0%
|
Detroit-Warren-Dearborn, Mich.
|
$268,000
|
-4.1%
|
-15.5%
|
7.4%
|
24
|
-13
|
19.9%
|
0.3%
|
Hartford-West
Hartford-East Hartford, Conn.
|
$330,000
|
10.4%
|
-55.6%
|
-12.3%
|
32
|
-12
|
17.2%
|
5.7%
|
Houston-The
Woodlands-Sugar Land, Texas
|
$364,000
|
10.5%
|
-25.2%
|
4.4%
|
37
|
-14
|
22.6%
|
0.9%
|
Indianapolis-Carmel-Anderson, Ind.
|
$279,000
|
-6.7%
|
-23.0%
|
14.5%
|
35
|
-12
|
22.4%
|
-2.9%
|
Jacksonville,
Fla.
|
$360,000
|
12.3%
|
-43.2%
|
2.8%
|
37
|
-26
|
20.6%
|
0.2%
|
Kansas City,
Mo.-Kan.
|
$322,000
|
-6.5%
|
-7.0%
|
15.7%
|
39
|
-13
|
21.2%
|
3.0%
|
Las
Vegas-Henderson-Paradise, Nev.
|
$422,000
|
22.9%
|
-34.6%
|
1.9%
|
27
|
-15
|
17.1%
|
-1.4%
|
Los Angeles-Long
Beach-Anaheim, Calif.
|
$975,000
|
-2.5%
|
-17.6%
|
-3.4%
|
43
|
-8
|
11.6%
|
-1.7%
|
Louisville/Jefferson
County, Ky.-Ind.
|
$265,000
|
-7.0%
|
-6.0%
|
22.8%
|
27
|
-12
|
22.9%
|
3.0%
|
Memphis,
Tenn.-Miss.-Ark.
|
$250,000
|
-5.8%
|
-17.7%
|
19.5%
|
37
|
-11
|
16.2%
|
-1.9%
|
Miami-Fort
Lauderdale-West Palm Beach, Fla.
|
$456,000
|
12.5%
|
-46.6%
|
-10.2%
|
59
|
-34
|
11.7%
|
-1.6%
|
Milwaukee-Waukesha-West Allis, Wis.
|
$290,000
|
-16.2%
|
4.6%
|
17.9%
|
35
|
-9
|
24.2%
|
4.9%
|
Minneapolis-St.
Paul-Bloomington, Minn.-Wis.
|
$355,000
|
-1.4%
|
-15.3%
|
-1.7%
|
29
|
-7
|
17.9%
|
3.7%
|
Nashville-Davidson--Murfreesboro--Franklin,
Tenn.
|
$440,000
|
11.1%
|
-51.3%
|
-18.5%
|
18
|
-14
|
16.7%
|
-0.7%
|
New Orleans-Metairie,
La.
|
$339,000
|
4.8%
|
-6.4%
|
19.9%
|
46
|
-21
|
22.5%
|
1.5%
|
New
York-Newark-Jersey City, N.Y.-N.J.-Pa.
|
$603,000
|
-2.7%
|
-12.9%
|
-9.7%
|
58
|
5
|
10.3%
|
-2.5%
|
Oklahoma City,
Okla.
|
$280,000
|
3.6%
|
-28.2%
|
12.4%
|
37
|
-13
|
20.0%
|
-1.9%
|
Orlando-Kissimmee-Sanford, Fla.
|
$375,000
|
15.4%
|
-47.7%
|
-2.3%
|
37
|
-21
|
19.3%
|
-2.7%
|
Philadelphia-Camden-Wilmington,
Pa.-N.J.-Del.-Md.
|
$321,000
|
-6.4%
|
0.9%
|
13.3%
|
43
|
-3
|
20.5%
|
2.1%
|
Phoenix-Mesa-Scottsdale, Ariz.
|
$475,000
|
14.5%
|
-16.7%
|
6.3%
|
30
|
-10
|
21.4%
|
2.3%
|
Pittsburgh,
Pa.
|
$233,000
|
-7.0%
|
-14.7%
|
4.6%
|
42
|
-12
|
24.0%
|
1.7%
|
Portland-Vancouver-Hillsboro, Ore.-Wash.
|
$558,000
|
11.6%
|
-23.8%
|
-3.1%
|
34
|
-9
|
28.6%
|
-3.5%
|
Providence-Warwick,
R.I.-Mass.
|
$429,000
|
0.1%
|
-14.5%
|
8.1%
|
31
|
-15
|
13.3%
|
2.0%
|
Raleigh,
N.C.
|
$425,000
|
10.0%
|
-61.7%
|
-18.8%
|
19
|
-24
|
11.6%
|
-5.1%
|
Richmond,
Va.
|
$350,000
|
-2.2%
|
-19.7%
|
12.1%
|
38
|
-14
|
16.6%
|
1.1%
|
Riverside-San
Bernardino-Ontario, Calif.
|
$540,000
|
17.6%
|
-7.6%
|
8.4%
|
33
|
-13
|
14.6%
|
3.4%
|
Rochester,
N.Y.
|
$228,000
|
-7.1%
|
-22.7%
|
-1.0%
|
19
|
-10
|
11.9%
|
-2.3%
|
Sacramento--Roseville--Arden-Arcade,
Calif.
|
$589,000
|
11.6%
|
-1.0%
|
7.2%
|
29
|
-9
|
19.1%
|
2.5%
|
San Antonio-New
Braunfels, Texas
|
$350,000
|
11.4%
|
-31.2%
|
9.2%
|
34
|
-17
|
22.5%
|
0.8%
|
San Diego-Carlsbad,
Calif.
|
$830,000
|
6.5%
|
4.5%
|
-6.1%
|
39
|
4
|
13.2%
|
-1.1%
|
San
Francisco-Oakland-Hayward, Calif.
|
$993,000
|
-3.2%
|
-22.4%
|
-3.4%
|
30
|
-6
|
11.1%
|
-3.9%
|
San
Jose-Sunnyvale-Santa Clara, Calif.
|
$1,250,000
|
4.2%
|
-20.3%
|
1.6%
|
30
|
-3
|
11.8%
|
-6.2%
|
Seattle-Tacoma-Bellevue, Wash.
|
$675,000
|
8.0%
|
-37.2%
|
2.7%
|
29
|
-5
|
14.3%
|
0.1%
|
St. Louis,
Mo.-Ill.
|
$250,000
|
0.0%
|
-15.2%
|
14.1%
|
42
|
-17
|
18.4%
|
-0.2%
|
Tampa-St.
Petersburg-Clearwater, Fla.
|
$360,000
|
20.0%
|
-40.7%
|
8.6%
|
34
|
-18
|
20.7%
|
-2.6%
|
Virginia
Beach-Norfolk-Newport News, Va.-N.C.
|
$310,000
|
-7.5%
|
-21.3%
|
3.7%
|
26
|
-15
|
15.1%
|
5.0%
|
Washington-Arlington-Alexandria, DC-Va.-Md.-W.
Va.
|
$503,000
|
-4.2%
|
17.1%
|
9.7%
|
33
|
3
|
20.0%
|
4.9%
|
Methodology
Housing data as of August 2021. Listings include active inventory of
existing single-family homes and condos/townhomes for the given
level of geography; new construction is excluded unless listed via
the MLS. In this analysis, entry-level homes are defined as
750-1,750 square-foot single family homes.
In this release, price adjustments are defined as home listings
that had their price reduced in August
2021. Listings that had their prices increased during the
month are excluded. In August, the count of listing price
reductions was nearly eight times higher than the count of listing
price increases.
About Realtor.com®
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makes buying, selling, renting and living in homes easier and more
rewarding for everyone. Realtor.com® pioneered the world
of digital real estate more than 20 years ago, and today through
its website and mobile apps is a trusted source for the
information, tools and professional expertise that help people move
confidently through every step of their home journey. Using
proprietary data science and machine learning technology,
Realtor.com® pairs buyers and sellers with local agents
in their market, helping take the guesswork out of buying and
selling a home. For professionals, Realtor.com® is a
trusted provider of consumer connections and branding solutions
that help them succeed in today's on-demand world.
Realtor.com® is operated by News Corp [Nasdaq: NWS,
NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual
license from the National Association of REALTORS®. For more
information, visit Realtor.com®.
Media Contact
rachel.conner@move.com
1In this release, price adjustments are defined as
home listings that had their price reduced in August 2021.
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