SEATTLE, Jan. 18, 2018 /PRNewswire/ -- (NASDAQ:
RDFN) -- Home prices finished the year strong, up 6.8 percent
in December from last year, according to Redfin (www.redfin.com),
the next-generation real estate brokerage. The median sale price
was $287,000 across the markets
Redfin serves. Sales were down 2.8 percent ending a year of
fluctuating sales growth. The number of homes for sale declined
14.5 percent compared to a year ago, marking 27 months in a row of
inventory declines.The typical home that sold in December found a
buyer after 49 days on the market, five days fewer than 2016.
"Like last year, low inventory will be the biggest driver of the
2018 real estate market," said Redfin chief economist Nela Richardson. "Major housing market dynamics
don't shift dramatically when the clock strikes midnight on
Jan. 1. We anticipate a continuation
of the same trends we've been seeing for the past few years. Price
growth will remain strong as many homeowners will remain deterred
from selling due to the low mortgage rates they've locked in and
the high price of their would-be move-up home."
The number of homes newly listed for sale in December decreased
3.0 percent. With just 2.6 months of supply in December, the market
was far below the six months of supply that represents balance
between buyers and sellers.
Market
Summary
|
December
2018
|
Month-Over-Month
|
Year-Over-Year
|
Median sale
price
|
$286,700
|
-1.3%
|
6.8%
|
Homes sold
|
218,700
|
-0.5%
|
-2.4%
|
New
listings
|
147,100
|
-29.5%
|
-3.0%
|
All Homes for
sale
|
568,000
|
-14.0%
|
-14.5%
|
Median days on
market
|
49
|
3
|
-5
|
Months of
supply
|
2.6
|
-0.4
|
-0.4
|
Sold above
list
|
20.5%
|
-1.5%
|
0.5%
|
Median Off-Market
Redfin Estimate
|
$250,600
|
0.7%
|
|
Average
Sale-to-list
|
98.0%
|
-0.1%
|
0.2%
|
Facing Lowest Supply on Record, San Jose Prices Rose 31.9
Percent Year Over Year
San Jose had only 0.5 months of
supply in December, the lowest monthly supply Redfin has recorded
in any metro area. This means that if the pace of home sales
continued and no new homes were listed, it would only take about
two weeks for all the homes currently for sale to find
buyers. Seattle and
Oakland also faced extremely tight
markets with just 0.6 months of supply in December.
Unsurprisingly, San Jose was
the fastest and most competitive market in December with the
typical home finding a buyer in a median of 12 days, followed by
Seattle and Oakland at 15 and 16 days respectively. More
than three-quarters (76.2%) of San
Jose homes sold above the list price. Of all the metro areas
Redfin tracks, San Jose has had
the steepest year-over-year price growth and inventory declines for
three months in a row.
Redfin San Jose agent
Kalena Masching says that despite
the high prices (her market had a median sale price of
$1.1 million in December)
San Jose remains more affordable
than San Francisco.
"Even highly-paid tech workers are priced out of San Francisco and moving to San Jose. This demand coupled with low
inventory and job growth at the tech campuses in the South Bay has
caused prices to soar."
Other December Highlights
Competition
- San Jose, CA was the fastest
market for the third month in a row, with half of all homes pending
sale in just 12 days, down from 39 days in December 2016. Seattle,
WA and Oakland, CA were the
next fastest markets at 15 and 16 median days on market, followed
by Boston, MA (20) and
San Francisco, CA (21).
- San Jose, CA was again the
most competitive market with 76.2% of homes selling above list
price, followed by 68.8% in San
Francisco, CA, 62.1% in Oakland,
CA, 40.2% in Seattle, WA,
and 38.8% in Los Angeles, CA.
Prices
- San Jose, CA had the nation's
highest price growth for the third month in a row, rising 31.9%
since last year to $1,108,000.
Las Vegas, NV had the second
highest growth at 17.3% year-over-year price growth, followed by
Baton Rouge, LA (15.3%),
Seattle, WA (15%), and
San Francisco, CA (14.7%).
- 2 metros saw price declines in December: Albany, NY (-3.2%) and Camden, NJ (-0.7%).
Sales
- 5 out of 73 metros saw sales surge by double digits from last
year. Camden, NJ led the nation in
year-over-year sales growth, up 21.3%, followed by Louisville, KY, up 14.5%. Orlando, FL rounded out the top three with
sales up 14.2% from a year ago.
- Cincinnati, OH saw the largest
decline in sales since last year, falling 20.8%. Home sales in
Portland, OR and Oxnard, CA both declined by 15.6%.
Inventory
- San Jose, CA had the largest
decrease in overall inventory for the third month in a row, falling
51.5% since last December. Oakland,
CA (-36.4%), Seattle, WA
(-34.0%), and Atlanta, GA (-33.1%)
also saw far fewer homes available on the market than a year
ago.
- Baton Rouge, LA had the
highest increase in the number of homes for sale, up 12.8% year
over year, followed by New Orleans,
LA (6.8%) and Austin, TX
(5.2%).
To read the full report, complete with data and charts, please
visit the following link:
https://www.redfin.com/blog/2018/01/market-tracker-december-2017.html.
About Redfin
Redfin (www.redfin.com) is the
next-generation real estate brokerage, combining its own
full-service agents with modern technology to redefine real estate
in the consumer's favor. Founded by software engineers, Redfin has
the country's #1 brokerage website and offers a host of online
tools to consumers, including the Redfin Estimate, the automated
home-value estimate with the industry's lowest published error rate
for listed homes. Homebuyers and sellers enjoy a full-service,
technology-powered experience from Redfin real estate agents, while
saving thousands in commissions. Redfin serves more than 80 major
metro areas across the U.S. The company has closed more than
$50 billion in home sales.
For more information or to contact a local Redfin real estate
agent, visit www.redfin.com. To learn about housing market trends
and download data, visit the Redfin Data Center. To be added to
Redfin's press release distribution list, subscribe here. To view
Redfin's press center, click here.
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SOURCE Redfin