Australia is not the only country experiencing a real estate boom in 2021, with new figures from the United States showing national median home values have reached a new all-time high.
US median prices hit US$375,000 ($485,940) in April, a 17.2 per cent rise on the same period last year, according to realtor.com’s Monthly Housing Trends report.
The report also found houses were selling at a record low of 43 days on the market, with listing levels still 26 per cent below pre-pandemic levels.
But the number of new sellers surged in April compared to the same month last year, when many cities had social restrictions in place.
“After stay-at-home orders brought the housing market to a halt last spring, especially for sellers who rethought their plans, 2021 is shaping up to be more typical,” realtor.com Chief Economist Danielle Hale said.
“That lack of activity is causing this year’s more normal trends to look like a huge improvement, and it is.
“However, when compared to pre-pandemic levels it is very clear we are still not on par with the number of sellers we saw in 2017 through 2019, which is helping to drive one of the most competitive sellers’ markets of all time.
Ms Hale said home prices were continuing to surge and sales were occurring about three weeks faster than during a normal US spring home-buying season.
She said she expected more homeowners to put their homes on the market in the coming months.
“However, with 554,000 fewer homes available for sale on a typical day in April this year compared to last year and buyer demand at all-time highs, home prices are expected to continue to reach new highs before peaking in July or August,” she said.
Nationally, new listings increased 32.6 per cent in April compared to last year. But there were 130,000 (25.5 per cent) fewer homes listed this April than the average rate in 2017 to 2019.
As sales occurred at a record pace, the number of active listings was down 53 per cent year-over-year, while total inventory, which includes pending sales, was 21.9 per cent lower.
The Northeast and Midwest of the country, which were first and hardest-hit at the start of the pandemic, posted the largest year-over-year growth in newly listed homes in April, with Pittsburgh, Detroit and Buffalo, New York, showing the biggest gains.
Southern markets in coduing Oklahoma City and Nashville, Tennessee, both experienced a 30 per cent reduction in newly listed homes year-on-year.
Homes are selling three weeks faster than 2017-2019
Homes across the US are selling more quickly than last year, when most of the country was on lockdown. On spent an average 43 days on the market this April, 20 days less than last year. Notably, it was 18 days less than the typical time on market in April 2017 to 2019 and faster than any time since 2012, underscoring the continuing record-setting demand for housing.
Homes sold even faster in the…