RE/MAX National Housing Report for May 2021
DENVER, June 17, 2021 / PRNewswire / – The typical surge in home sales in May didn’t happen last month, as sales fell 0.2% from April and home prices were unusually flat in the report’s 53 metropolitan areas.
Defying seasonal trends has also included a 7.1% drop in listed homes during a time of year when active inventory is typically built for the peak summer sales months. But two other metrics confirm that the frenzied seller market is marching on: The supply of inventory in months fell to 1.1 months and the houses changed hands in just 28 days. Both are records in the 13-year history of the report.
“The first small step towards a more balanced market could have taken place in May when home prices finally stabilized after a long series of sustained increases. At the same time, declining sales bucked typical April-May trends and reported records have been set for low inventory levels, “and fast turnaround times,” said Nick Bailey, President, RE / MAX, LLC.
In view of the year-on-year comparisons, which have been greatly distorted by the pandemic, the averages from April to May for 2015-2019 show what is typical:
- While May 2021 Home sales fell 0.2% month on month, 13.9% is the average 2015-2019 increase from April to May. Year-on-year sales increased by 53.4%.
- Average selling price in May of $ 320,000 was the same as April, compared to the typical April-May increase of 3.2%. Year-on-year, the price in May is 17.0% higher than in May 2020 $ 273,498.
- Instead of the 7.1% decline from April to May, inventories typically increase 1.8%. Year-on-year, inventories were down 43.0%.
Bailey continued, “May had something for everyone – buyers finally got a price brake, sellers benefited from a lack of competitive inventory, and both sides were served by faster offer times to close. The market is still mostly leaning towards sellers. ”But we could see the first signs of a return to more balance after the hottest selling period in years. That would ultimately be good for both buyers and sellers. “
The average days on market in May from listing to contract signing of 28 shortened April by four days and represented a sale 18 days faster than May 2020.
The 1.1 month inventory in May compares to 1.3 in April and 2.9 in May 2020.
The highlights and leading local markets include several metrics for May:
Closed transactions
Of the 53 metropolitan areas examined in May 2021, the average total number of home sales is down 0.2% compared to April 2021, and an increase of 53.4% compared to May 2020. The percentage increase in sales compared to the previous year was cited Detroit, Michigan at + 136.6%, San Francisco, California at +135.7% and Miami, Florida at + 131.8%.
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Closed transactions: |
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|
market |
May 2021 |
May 2020 |
Year-over- |
|
Detroit, Michigan |
4,549 |
1.923 |
136.6% |
|
San Francisco, California |
6,403 |
2,717 |
135.7% |
|
Miami, Florida |
5,071 |
2,188 |
131.8% |
|
Pittsburgh, PA |
2,410 |
1,095 |
120.1% |
|
Las Vegas, Nevada |
4,107 |
2,059 |
99.5% |
Median Selling Price – Median of 53 Metro Median Prices
in the May 2021, was the median of all 53 Metro median sales prices $ 320,000, shallow too April 2021 and by 17.0% of May 2020. No metropolitan area recorded a decrease in the median sales price compared to the previous year. Fifty metropolitan areas grew double-digit percentages year over year, led by Boise, ID at + 40.7%, Augusta, ME at + 37.8% and Phoenix, AZ at + 32.9%.
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Median sales price: |
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|
market |
May 2021 Median sales |
May 2020 Median sales |
Year-over- |
|
Boise, ID |
$ 460,000 |
$ 327,000 |
40.7% |
|
Augusta, ME |
$ 255,000 |
$ 185,000 |
37.8% |
|
Phoenix, AZ |
$ 392,000 |
$ 295,000 |
32.9% |
|
Los Angeles, California |
$ 660,000 |
$ 500,000 |
32.0% |
|
Detroit, Michigan |
$ 250,000 |
$ 192,000 |
30.2% |
Days on Market – average of 53 metropolitan areas
The average days in the market for homes sold in May 2021 was 28, four days less than average in April 2021, and 18 days less than average in May 2020. The metro areas with the lowest days on market contained a four-way connection between Boise, ID, Seattle, WA, Omaha, NE, and Nashville, TN at 12. The highest averages for Days on Market were in Miami, Florida at 85, Des Moines, IA with 83, and New York, NY at 79. Days on Market is the number of days between first adding a home to an MLS and signing a sales contract.
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Days on the market: |
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|
market |
May 2021 |
May 2020 |
Year-over- |
|
Burlington, VT |
34 |
90 |
-61.7% |
|
Boise, ID |
12th |
30th |
-60.0% |
|
Raleigh-Durham, NC |
22nd |
50 |
-56.0% |
|
Omaha, NE |
12th |
27 |
-55.6% |
|
Pittsburgh, PA |
28 |
62 |
-54.8% |
Monthly inventory supply – average of 53 metropolitan areas
The number of houses for sale in May 2021 decreased by 7.1% versus April 2021 and by 43.0% compared to May 2020. Based on the rate of home sales in May 2021, the monthly supply of inventory decreased to 1.1 from 1.3 in April 2021and decreased compared to 2.9 in May 2020. A six month offer indicates a balanced market between buyers and sellers. in the May 2021, Of the 53 metropolitan regions examined, none of the metropolitan regions reported a monthly supply of or more than six, which is usually viewed as a buyer’s market. The markets with the lowest monthly inventory supply were a four-way tie between Albuquerque, NM, Raleigh-Durham, NC, Denver, CO, and Seattle, WA at 0.4.
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Months supply of inventory: 5 markets with the biggest year-over-year decline |
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|
market |
May 2021 Monthly supply |
May 2020 Monthly supply |
Year-over- |
|
Albuquerque, NM |
0.4 |
2.4 |
-83.3% |
|
Hartford, CT |
0.7 |
3.6 |
-80.6% |
|
Providence, RI |
0.8 |
4.0 |
-80.0% |
|
Las Vegas, Nevada |
1.2 |
5.5 |
-78.8% |
|
Indianapolis, IN |
1.6 |
6.4 |
-75.0% |
Via the RE / MAX network
As one of the world’s leading real estate franchisors, RE / MAX, LLC is a subsidiary of RE / MAX Holdings (NYSE: RMAX) with nearly 140,000 agents in more than 110 countries and territories. Nobody in the world sells more real estate than RE / MAX® based on residential transaction pages. RE / MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture that gives its agents and franchisees the flexibility to run their businesses with great independence. RE / MAX agents have lived, worked, and served in their local communities for decades, raising millions of dollars each year for Children’s Miracle Network Hospitals® and other charities. Visit www.remax.com to learn more about RE / MAX, browse housing listings, or find a representative in your community. For the latest news about RE / MAX, please visit news.remax.com.
description
The RE / MAX National Housing Report is distributed each month on or around the 15th. The first report was distributed in August 2008. The report is based on MLS data in around 53 metropolitan areas, includes all residential property types and is not annualized. For maximum representation, many of the country’s largest metropolitan areas are represented and an attempt is made to include at least one metro from each state. The definitions of metropolitan areas include, with a few exceptions, the specific counties established by the US Government’s Office of Management and Budget.
Definitions
Transactions are the total number of completed residential transactions during the respective month. The monthly inventory is the total number of residential properties offered for sale at the end of the month (current inventory) divided by the number of (outstanding) sales contracts signed during the month. If there is no “pending” data available, this calculation is performed using closed transactions. Days-on-Market is the number of days that elapse from the time a property is listed until the contract is signed for all residential properties sold during the month. The median sales price is the median of the median sales prices in each of the metropolitan areas included in the survey.
MLS data is provided by commissioned data aggregators, RE / MAX brokerages and regional offices. Although the MLS data is assumed to be correct, this cannot be guaranteed. The MLS data is constantly updated so that each analysis is a snapshot at a specific point in time. Each month, the RE / MAX National Housing Report recalculates the data from the previous period to ensure accuracy over time. All raw data remains the intellectual property of each local MLS organization.
SOURCE RE / MAX, LLC
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