According to Realtor.com’s Monthly Housing Trends Report, the national median listing price rose to $380,000 in May. This jump represented a 15.2% increase from the previous year. Shockingly, it is a decrease from April’s 17.2% year-over-year increase, and marks the first time the annual growth rate has decreased in thirteen months. Buyers may begin seeing a bit of a pullback in home prices, which many feel are unsustainable.
Inventory still remains the number one issue impacting the housing market. The national inventory of active listings declined 50.9% since May of last year, which represents a smaller decline as compared to the 53% drop in April. Despite the month-over-month improvement, housing inventory remains far away from stabilizing a balance between buyers and sellers. Buyers right now are wasting no time scooping up newly listed homes, with the typical home lasting 39 days on the market in May. That is 32 days less than May of last year. Overall, until inventory begins to accelerate, home prices are expected to rise, but possibly at a slower pace month-over-month.
Call your Advisors Mortgage Loan Officer today to discuss the current market in more detail and to learn what you qualify for.