The rate that homes in the U.S. are selling is faster now than it was a year ago. This comes as the number of homes on the market are fewer than ever seen before. According to the National Association of Realtors, December 20212 saw existing housing inventory fall to an all-time low with a 28 percent drop year-over-year. With so few properties to choose from and many buyers trying to make their move before mortgage rates potentially increase later in the year, the sales rate far exceeded the rate homes are coming on the market.
Homes continue to sell at a faster click than they have in years. In total, 79 percent of homes sold in December 2021 were snatched up within a month, according to NAR. The average time a property sat on the market was just 19 days.
Inventory levels are expected to improve in the coming months as single-family home construction picks up and sellers enter the market in during the spring home buying season.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 3.625 percent and 15-year rates are near 2.875 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (877) 700-0942 and your questions may be featured in an upcoming article.
