RE/MAX National Housing Report for October 2022

More Inventory, Fewer Homes Selling
As Sale Prices Slowly Dip

October revealed a vastly different housing market from one year ago, with 30.7% fewer closings, 36.8% more homes for sale, and the average home taking nearly a week longer to sell, at 35 days on market. As a result, the Median Sales Price was pushed down 0.3% to $399,000 from September’s $400,000 – the third straight month of decline.

Across the report’s 53 metro markets, all 10 months of 2022 thus far have posted lower home sales compared to 2021. October was the sixth consecutive month with more for-sale signs than the same month last year.

Compared to September, home sales in October were down 13.5% while inventory grew 2.9%. Homes were on the market one day longer.

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RE/MAX National Housing Report for September 2022

Inventory Grows, Home Prices Drop
as Homes Take Longer to Sell

Typical for this time of year, September home sales declined 9.7% from August across the report’s 53 metro areas. That led to inventory climbing to two months’ supply for the first time in nearly two years – an encouraging sign of a more balanced market to come.

September’s Median Sales Price of $400,000 was 6.1% lower than the year-high of $426,100 in June. The Median Sales Price dropped 1.2% below August’s but was 6.7% above September 2021. The average Close-to-List Price Ratio in September was 99%, meaning that homes sold for 1% less than the asking price for the second consecutive month after being at 100% or above through the first seven months of 2022.

Despite inventory growing 3.9% over August and 30.4% year-over-year, New Listings were down 7.6% month to month and down 11.4% compared to September 2021.

Other notable metrics include:
• September’s two months’ supply of inventory jumped from 1.6 months in August and 1.3 months a year ago. The National Association of REALTORS® last reported months’ supply of inventory above two in November of 2020, when it was 2.3.
• The number of homes for sale has grown in five of the past six months.
• Year-over-year, September home sales were down 23.5%.
• Days on Market averaged 34, five days higher than July and six days more than September 2021.

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RE/MAX National Housing Report for August 2022

Drops in Sales Price Result in More
Closings, Less Inventory

According to August data in the RE/MAX National Housing Report, home sellers, on average, accepted offers below their listing prices last month – a further indication of rebalancing in the housing market. Across the report’s 51 metro areas, the average Close-to-List Price Ratio in August was 99%, meaning that homes sold for 1% less than the asking price. That’s down from 101% in July and 104% in April. This change helped push August sales 5.3% higher than July, while the Median Sales Price declined 2.4% to $410,000 after peaking at $426,000 three months earlier.

At the same time, new listings dropped 12.8% from July and inventory declined 1.8% after four months of double-digit growth. Even so, the number of homes for sale was 20% higher than in August 2021.

Two-thirds of the way through 2022, home sales have declined every month compared to 2021. Other notable metrics include:

• Months Supply of Inventory was 1.6 months in August, a decline from 1.7 in July but an increase compared to 1.2 in August 2021.
• Days on Market averaged 28, four days higher than July and three days more than August 2021.
• August’s Median Sales Price of $410,000 was 2.4% below July but was up 7% year over year.

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RE/MAX National Housing Report for July 2022

Median Home Prices Inch Downward
While Sales Drop, Inventory Grows

A double-digit drop in home sales from June to July fueled a double-digit increase in homes for sale, triggering the first decline in the Median Sales Price since January.

July’s Median Sales Price of $415,000 was down 2.9% from June and the lowest since April’s $406,000. The 16.6% decline in home sales was also the first since January. Year-over-year, sales were down 26.3% from July 2021.

Following a period of continual contraction in recent years, inventory jumped for the fourth consecutive month. There were 13.3% more homes for sale than in June and 30.4% more than a year ago. Months Supply of Inventory has doubled since May and is now at 1.8, while Days on Market was 24. New listings, however, dropped 7.8% compared to June and 7.2% compared to July 2021.

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RE/MAX National Housing Report for June 2022

As Inventory Rises, June Home Sales
Post Year’s Highest Mark But Trail 2021

Halfway through the peak summer buying season, this year’s home sales are falling short of 2021’s, as signs of more balance in the market take hold.

• June posted the most home sales of any month thus far this year, topping May by 4.7% but falling 17.6% short of June 2021.
• Inventory grew for a third consecutive month by a whopping 34.1% over May and 27.5% year over year.
• While up 11% year over year, the Median Sales Price of $428,000 inched just 0.6% above May’s.

Bolstering the inventory was a 7.7% increase in new listings month over month, which was an increase of 1.6% over June 2021. Months Supply of Inventory jumped from 0.9 in May to 1.4 in June. A year ago, Months Supply of Inventory was 1.0.

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RE/MAX National Housing Report for May 2022

May Home Sales Down Year Over Year
as Inventory Grows

Although May is one of the most active months of the year for home sales, closings in May 2022 were 8.5% lower than May 2021. They did, however, climb 5.8% over April. That month-over-month increase was approximately half of the average gain in May during the pre-pandemic years of 2015-2019.

After a long decline, inventory grew for the second consecutive month, making May the first month of 2022 to top inventory levels compared to one year ago. May ended with 16.3% more homes for sale than in April, and 2.2% more than May 2021. Months Supply of Inventory increased from 0.8 in April to 0.9 in May. A year ago, Months Supply of Inventory was 1.0.

The Median Sales Price of $430,000 grew 1.2% over April’s $425,000 and was 13.2% higher than the $380,000 recorded in May 2021. The average Close-to-List Price Ratio in May was 103%, meaning that homes sold for 3% more than the asking price. That compared to nearly 104% last month and 102% in May 2021.

Homes spent an average of 23 days on the market in May. They sold three days faster than in April, and two days faster than a year ago.

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RE/MAX National Housing Report for April 2022

Competitive Spring Market Greets Buyers
and Sellers with More Listings, Higher Prices

Signaling a flattening of the seasonal spring ramp-up, April 2022 home sales increased less than 1% over March – and dropped 12.8% year over year – across the report’s 53 metro areas. That, coupled with an 11.5% increase in new listings from March to April, resulted in a 24.0% surge in inventory month to month.

The Median Sales Price of $420,000 was up 3.4% over March and 15.1% over April 2021. And home offers grew more competitive. For example, average sale to list price ratio measures how close homes are selling to their asking price and in April, the average sale to list price ratio was 104% of the list price, compared to 103% in March and 101% in April 2021.

Though up 24.0% month over month, active inventory was down 10.4% from a year ago, driven in part by a 7.4% decline in new listings year over year.  Months Supply of Inventory increased from 0.7 in March to 0.8 in April. A year ago, Months Supply of Inventory was 1.0.

Homes spent an average of 26 days on the market in April – five days less than March, and two days less than a year ago.

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RE/MAX National Housing Report for February 2022

Home Prices Rise 3%, Closings Dip 1%
Ahead of Anticipated Spring Surge

February home sales dipped nearly 1% from January, potentially setting the stage for what is typically the year’s biggest month-over-month ramp-up in sales as March typically is considered the start of the spring home-selling season. And while the number of homes on the market remained at record lows, February’s month-over-month decline in inventory of 6.8% was the smallest such decrease in five months.

At the same time, home prices across the report’s 51 metro areas started to move upward again after experiencing no such increase in January and four small monthly declines in the second half of 2021. February’s Median Sales Price of $345,000 – the highest in report history – was three percent higher than January’s and 17.3% above a year ago. Only three months in 2021 – March (4.5%), April (5.9%) and June (4.9%) – saw prices increase at a higher rate.

Despite declining 4.7% year-over-year, February’s slight month-over-month drop in sales of 0.9% was in sharp contrast to an average increase of 4.4% from January to February over the past five years (2017-2021). Currently underway, March home sales typically produce the largest monthly increase in closings each year. From 2015-2019, sales rose an average of 35% month over month from February to March, while the second-highest average month-over-month increase was just 14% from April to May.

Inventory declined 6.8% from January to February following double-digit declines the previous four months and was down 28.9% from February of 2021. Months Supply of Inventory dropped to 1.2, compared to 1.3 in January and 1.8 a year ago.

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RE/MAX National Housing Report for January 2022

Prices Remain Steady as Home Sales Decline Seasonally and Inventory Stays Low

January home sales dropped 31.4% from December’s total – a decrease slightly more than the seasonal norm – as inventory shrank for the sixth consecutive month. Year over year, sales were down 5.3% from January 2021.

A December-to-January decline in home sales is typical and expected. In the past five years (2017-2021), the average drop in home sales between the two months was 28.0%.

Across the 51 metro areas in the report, the Median Sales Price remained steady as January was the second month in a row of little-to-no month-over-month price increase. January’s Median Sales Price equaled December’s $335,000, which was only $5,000 below the report’s all-time high of $340,000 set in October 2021. However, year-over year price increases remain steep as January’s price was 15.9% higher than a year ago.

Inventory remains historically low. November, December and January have each reset the mark for lowest inventory (in terms of units) in the last five years. Similarly, January’s 1.2 Months Supply of Inventory matched the low reached in May 2021. There were 1.9 months supply of inventory a year ago.

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RE/MAX National Housing Report for December 2021

Strong December Caps 2021 As Busiest Home-Buying Year in Report History

Near-record December home sales cemented 2021 as the busiest year for home buying in the 14-year history of the report, while also setting records for smallest inventory and highest average home prices. On an annual basis, 2021 finished with nearly 10% more home sales than the previous record year of 2020.

Across the 51 metro areas in the report, December 2021 home sales were the second highest for the month in report history, trailing only December 2020. Despite the strength in home sales, December sales defied recent month-over-month moves. December 2021 home sales were actually down 0.8% from November, which had an unusually high total. In contrast, the November-to-December average change for the five-year period from 2015-2019 was an increase of 3.5%.

December home transactions could have been even stronger had it not been for record-low inventory. The year 2021 ended with the smallest number of homes for sale in the 14-year history of the report. December inventory dropped 23.6% from November – the previous record low – and 33.3% year over year. The 10 months with the lowest inventory in report history all occurred in 2021.

December’s 1.2 Months Supply of Inventory was an all-time low and tied the report record set in May 2021. There were two months supply of inventory a year ago. Homes spent an average of 31 days on the market in December – two more than November, but seven less than a year ago.

At the same time, December’s Median Sales Price of $335,000 was up 1.4% over November and 11.5% year over year. The November-to-December increase is slightly higher than the 1.2% average for the five-year period from 2015-2019. While the highest average sale price of the year typically is reached in early or mid-summer, October’s $340,000 was the highest in 2021 and in report history.

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