As spring emerges, so are potential home buyers across the U.S., according to a report Thursday from Realtor.com.
Homes typically sold in 54 days in March, faster than in January and February, suggesting that buyers are active in the market—even if their numbers are more muted than this time last year, according to Danielle Hale, chief economist at the online property portal.
While properties are sitting on the market for 18 days longer than they were in March 2022, they’re still selling some two weeks faster on average than before the pandemic boom, the data showed.
Compared to last year, homes were spending longer on the market across all 50 metro areas the report assessed, with the largest jumps recorded in Raleigh, North Carolina; Kansas City, Missouri; and Austin, Texas.
“Amid fewer new choices on the market and still rising home prices, home shoppers have shown that they are very rate sensitive, only jumping back in the market when rates dip, and so what happens with rates this spring will likely play a strong role in determining whether the housing market bumps along or picks up speed this year,” Ms. Hale said.
“With so much built-up equity, home sellers are still faring well, but many are sitting on the sidelines. The usual seasonal pick-up in buyer demand appears to be underway, one of several factors that make spring the best time to sell,” she added. “With an uncertain market ahead, it may be even more important for potential sellers to aim for this year’s seasonal sweet spot.”
That sweet spot is the week of April 16 this year, which is poised to bring sellers higher home prices, less competition, a faster sale and stronger demand, according to the report.
Listing prices continued to rise year-over-year—up 6.3% to $424,000—but the rate at which they’re doing so slowed to the lowest level since June 2020, a matter of months into the pandemic. If listing price increases continue to slow at this pace, the market could begin to see declines as early as this summer, the report said.
It would come on the heels of the recent nationwide sale price decline, which fell annually for the first time in a decade last month.
Mansion Global is owned by Dow Jones. Both Dow Jones and Realtor.com are owned by News Corp.
Source : Mansion Global