SANTA CLARA, Calif.,
May 21, 2020 /PRNewswire/
-- Realtor.com® today announced the findings of its
Weekly Housing Trends Report for the week ending May 16. According to national data, homes sat on
the market 15 days longer than last year, new listing declines
showed slight improvement, total listings continued their downward
trend, and median listing prices showed minimal growth.
"Mid-May is normally the time of year when homes sell the
fastest, but today's median time on market is more like what we
usually see in late February or November," said Danielle Hale, chief economist for
realtor.com®. "While the real estate industry has
leveraged technology to help buyers find homes and get to the
closing table, virtual or physical, sellers will note that the
pandemic has had a dramatic impact on the time it takes to find a
buyer. Looking forward, we expect time on market figures to improve
in late summer, especially as buyers try to make up for the missed
spring season."
Key Findings:
- Time on market was 15 days slower than last year, the
biggest increase in time on market since 2013.
- New listings were down -28%. Declines persist
nationwide but hold onto last week's improvement.
- Total inventory was down -20%.
- Median listing prices are still growing at a slower pace
than pre-COVID, but they may regain momentum in the weeks to
come
|
Week ending May
16
|
Week ending May
9
|
Week ending May
2
|
First Two Weeks
March
|
Time on
Market
|
15 days slower
YOY
|
13 days slower
YOY
|
11 days slower
YOY
|
4 days faster
YOY
|
New
Listings
|
-28% YOY
|
-29% YOY
|
-39% YOY
|
+5% YOY
|
Total
Listings
|
-20% YOY
|
-19% YOY
|
-19% YOY
|
-16% YOY
|
Median Listing
Prices
|
1.5% YOY
|
1.4% YOY
|
1.6% YOY
|
4% YOY
|
Time on market: With states just beginning to
open up, homes are sitting on the market more than two weeks longer
than this time last year. As we start to see buyers come back to
the market, the time it takes to sell could quicken later this
summer.
Data for the week ending May 16
showed that time on market was 15 days or 27 percent greater than
last year, the largest increase in time on market since 2013. This
is significantly slower than what we were seeing the first two
weeks in March (our pre-COVID-19 base) where homes were moving 4
days faster than last year on average. This trend is visible in
local data as well as the national figures, with 69 of the largest
100 metros showing similar double-digit percent increases in time
on market from one year ago.
New listings: Declines in new listings remained
consistent with last week registering a decline of 28 percent for
the week ending May 16. This week's
decline remains a significant improvement over the more than 40
percent declines in prior weeks.
Fewer sellers are putting homes up for sale than compared to
this time last year, which is unsurprising given shelter in place
orders and record high unemployment. In the most recent three weeks
ending May 2, May 9, and May 16
the volume of newly listed properties decreased by 39 percent, 29
percent, and 28 percent year-over-year, respectively, compared to
the 5 percent increase we saw the first two weeks of March. While
new listings supply has yet to return back to last year's levels,
the gap is getting smaller. Locally, we are also seeing signs of
improvement on the horizon with nearly half (44 of 98) of large
metros continuing to see smaller declines in new listings,
including markets that took big initial supply hits such as
New York, Miami and Washington
DC.
Asking prices: Sellers continue to look for
minimal home price growth, and the mix of homes for-sale is
reverting back toward pricier properties keeping price growth
largely steady.
For the week ending May 16, median
listing prices grew 1.5 percent year-over-year compared to 1.4
percent last week. While improving, the growth is nowhere close to
the +4.4 increase we saw the first two weeks of March. Looking
forward, asking prices will likely regain momentum in the weeks to
come as sellers regain confidence and buyers slowly resume
activity. Locally, 76 of the largest 100 metros saw asking prices
increase over last year.
Total Active Listings: Total active listings
declined from a year ago at a faster rate than observed in previous
weeks. This trend could worsen as buyers regain confidence and come
back to the market before sellers.
For the week ending May 16, total
active listings declined 20 percent compared to a year ago, up from
a 19 percent yearly decline for the weeks ending May 9 and May 2. If
the flow of new listings into the market remains minimal we could
see rapid declines in total inventory for the weeks to come,
especially as buyers come back into the market.
About realtor.com®
Realtor.com® makes buying, selling and living in homes
easier and more rewarding for everyone. Realtor.com®
pioneered the world of digital real estate 20 years ago, and today
through its website and mobile apps is a trusted source for the
information, tools and professional expertise that help people move
confidently through every step of their home journey. Using
proprietary data science and machine learning
technology, realtor.com® pairs buyers and
sellers with local agents in their market, helping take the
guesswork out of buying and selling a home. For
professionals, realtor.com® is a trusted
provider of consumer connections and branding solutions that help
them succeed in today's on-demand world. Realtor.com® is
operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV]
subsidiary Move, Inc. under a perpetual license from the National
Association of REALTORS®. For more information,
visit realtor.com®.
Media Contacts:
Lexie
Holbert, lexie.puckett@move.com
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SOURCE realtor.com