The US housing market continues to be constrained by tight inventory and there's little expectation of any near-term improvement
The US housing market continues to be constrained by tight inventory and there’s little expectation of any near-term improvement.
A report released Monday highlights the pressure facing homebuyers from lack of available properties, with prices facing further upward pressure.
RE/MAX’s National Housing Report which shows a drop in home sales of 0.2% in February compared to a year earlier. Homes were on the market for an average of 62 days, the lowest for February in the report’s 9-year history, down 6 days from a year earlier.
“It seems that even two months into 2018 we're already seeing records break," said RE/MAX CEO Adam Contos. "The February 2018 median sales price of $228,700 (up 2.3% month-over-month and 8.1% year-over-year) marks the 22nd consecutive month of year-over-year price increases."
With supply tightening to just 3.1 months, another report record; buyers were seeking opportunities in unexpected markets.
"In one year, Billings, Montana, saw a 59% increase in home sales, along with Boise, Idaho, with a 25% increase in sales," added Contos.
Eighteen metros out of 52 saw double-digit increases while two (Albuquerque, NM, -0.2% and Burlington, VT, -5.2%) recorded decreases.
