Buyers Under Pressure as Homes Continue to Sell Quickly
November 6, 2020
House hunters who see a home they like should consider making an offer quickly or risk losing out. Homes in October sold 13 days faster than a year ago, an unseasonable trend, a new report from realtor.com® notes.
This also marks the first time since 2011 that the pace of sales has accelerated from September to October, “signaling buyers continued to face tough competition in this anything but normal year,” according to realtor.com®’s Monthly Housing Trends Report.
Among the nation’s 50 largest metro areas, homes spent an average of 45 days on the market. The metros where homes sold the fastest compared to a year ago are:
- Hartford, Conn.: 23 days faster than a year ago
- Virginia Beach, Va.: 22 days faster
- San Diego: 20 days faster
“In the fall, we normally see homes sell more slowly and prices pull back from peak levels,” says Danielle Hale, realtor.com®’s chief economist. “But this October, we saw a drop in the time it takes to sell a home even while home prices remain at their summer peak. Drawn in by low mortgage rates and the hope of more space, buyers have stayed in the housing market this fall, keeping prices high and pushing time on the market to unseasonable lows.”
The number of homes for sale is down 38.3% nationally. The metros with the largest declines in new listings compared to a year ago are Nashville (down 27.5%); Charlotte, N.C. (down 22.9%); and Richmond, Va. (down 21.8%). However, there is a slight indication of turnaround in inventory in sight, realtor.com®’s report says. Newly listed homes are down 7.7% compared to a year ago. That is a “substantial improvement” from September, when new listings were down 13.8%, realtor.com® reports.
Updated: November 25, 2020