April saw home prices increase by 6.2% to a median sale price of $280,000. Home sales also went up 1.2% from last year due to a shortage of home supply. The shortage also marked the 19th consecutive month of annual inventory declines, as homes for sale sank 13.3%, the biggest dip in four years.
“The market tends to accelerate through June so I wouldn’t be surprised if new records for speed and competition are reached in May and June given what we are seeing now,” said Redfin Chief Economist Nela Richardson. “The only record this market can’t break is sales. You need more inventory for that!”
April also saw one in five homes (22%) sold go under contract within two weeks, while one in four (27%) homes sold were above their list price – the highest percentage the company has ever recorded.
Denver was the fastest market in April, as almost half of all its homes went under contract in just six days, followed by Seattle with seven days and Portland, Ore., and Tacoma, Wash., with 10 days.
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Last month saw homes sold faster than ever and under contract in an average of 40 days, according to new data from Redfin, making April the fastest month for sales since the real estate site began tracking in 2010.