Home prices surged 14 percent and pending home sales were up 34 percent year over year for the four-week period ending December 20, according to a new report released Tuesday by Redfin.
The medium home price for the period was $320,714, according to a market review of more than 400 metropolitan areas in the United States.
The report found:
- New listings of homes for sale were up 12 percent from a year earlier.
- Active listings fell 31 percent from 2019 to a new all-time low.
- 39 percent of homes that went under contract had an accepted offer within the first two weeks on the market – up from 26 percent a year ago.
- The average sale-to-list price ratio was 99.4 percent – 1.5 percentage points higher than a year ago.
“Going into the new year, it will truly be out with the old, because there will be very few homes from 2020 left on the market,” Redfin chief economist Daryl Fairweather said. “So those who resolve to buy a home in 2021 may need to wait with bated breath for sellers to list their homes. Redfin’s forecasts suggest the new year will bring many more new listings, but they will likely be snatched up quickly. So if you are a homebuyer, now is a good time to get pre-approved for a mortgage, and come up with your wish list, so you can act quickly when your dream home hits the market.”