U.S. home prices rose 7.5 percent to a median sale price of $273,000 in March as home sales made a strong showing, up 8.9 percent over last year, according to Redfin (www.redfin.com), the next-generation real estate brokerage.
The number of homes for sale fell 13 percent compared to last March, marking the 18th consecutive month of annual supply declines.
2017 remains on track to be the fastest housing market on record. The typical home that sold last month went under contract in just 49 days, making it the fastest March Redfin has recorded since 2010. A year earlier, the median time on market was 60 days.
Nearly one in five (19.1%) homes that sold in March went under contract within two weeks, and 21.7 percent of homes sold for more than their list price.
To win a home in a hot market this year, Redfin agents recommend buyers provide assurances to the seller and listing agent by working with a local, reputable lender and catering to the seller’s needs.
“As a seller’s agent, the first thing I do when I receive an offer is ask who the lender is,” said Redfin agent Tiffany Aquino in Woodbridge, Virginia. “The best offers come from buyers who are pre-approved by a local lender with a strong reputation for speed and reliability. If I’ve worked with the lender before and know they can fund the loan and close on time, I am sure to highlight that for my client.”
“Offer a free 60-day rent-back up front,” said Adrienne Kieschnick, a Redfin agent in Dallas. “Many sellers are attempting to time the sale of their home while also trying to find a replacement home in a competitive market. The easier you make the seller’s life, the more attractive your offer becomes.”
Regional March Highlights
Denver, CO, and Seattle, WA, were the fastest markets, where the typical home was under contract in just eight days. Oakland, CA and San Jose, CA were the next fastest markets with 13 and 14 median days on market respectively.
The most competitive market in March was San Jose, CA, where 69.6% of homes sold above the asking price, followed by 66.7% in San Francisco, CA, 65.9% in Oakland, CA, 56.6% in Seattle, WA and 44.4% in Tacoma, WA.
Grand Rapids, MI had the nation’s highest price growth, rising 16.3% since last year to $162,750. Orlando, FL had the second highest at 15.5% year-over-year price growth, followed by Santa Rosa, CA (15.0%), Seattle, WA (14.5%) and Tampa, FL (14.3%).
Only four metros actually saw prices decline in March: Birmingham, AL (-3.2%), Baton Rouge, LA (-2.8%), Durham, NC (-1.7%) and San Antonio, TX (-1.5%).
32 out of 90 metros saw sales increase by double digits from last year. Poughkeepsie, NY led the nation in year-over-year sales growth, up 41%, followed by Baltimore, MD, up 40.6%. Camden, NJ rounded out the top three with sales up 31.6% from a year ago.
Home sales in Buffalo, NY and Provo, UT declined by 23.0% and 14.8%, respectively.
Rochester, NY had the largest inventory decline, falling 39.0% since last March. Buffalo, NY (-34.5%), Rochester, NH (-33.2%), and Portsmouth, NH (-31.4%) also had far fewer homes available on the market than a year ago.
Fort Myers, FL had the highest increase in the number of homes for sale, up 32.4% year over year, followed by Knoxville, TN (22.3%) and Austin, TX (10.3%).
To read the full report, complete with data and charts, please visit the following link: https://www.redfin.com/blog/2017/04/march-2017-real-time-housing-market-tracker.html
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. 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 $40 billion in home sales through 2016.