Welcome to the sellers market! Real estate is selling at the fastest pace in two years.
The seller's market has stayed strong during coronavirus, and July was no exception. Homes only stayed on the market for about 20 days, as the week ending of July 4. As incredible as it sounds, homes in areas of Kansas City, Cincinnati, and Indianapolis are averaging a DoM as low as five days.
The expected reason is the lack of housing inventory. New listings are down by 1.5% from the week before, 7.9% down month-over-month, and 27.2% down year-over-year. In total, available housing is down by 22.4% compared to last year.
Consequently, sellers have kept their listing prices, however, last week only 4.1% of for-sale homes lowered their asking prices. The average listing price increased by 0.5% week-over-week to $338,760, a number that increased by 4.3% compared to last's year.
Experts believe that selling prices will drop by 1.8% in between April and October 2020. In addition, they predict that pending sales volume had hit bottom last April, and will recover by the end of 2020.