Redfin is reporting that, as of December, 2016, unsold home inventory dropped 12.7% (year over year) – it’s largest year over year decline in over three years. This was coupled with the fact that overall home sales only increased 0.5% from one year ago. However, Redfin reports that the median home sale price rose 4.7% to $267,600 in December – a trend they predict will continue into 2017. Nearly one third of homes sold in December went under contract within two weeks – a feat not seen since 2010.
“We’ve never before seen homes turn over so quickly at a national level,” said Redfin Chief Economist Nela Richardson.
- Detroit, MI had the largest decrease in overall inventory, falling 31.2% since December 2015. Rochester, NH (-30.7%), Portsmouth, NH (-29.4%) and Rochester, NY (-28.7%) also saw far fewer homes available on the market than a year ago.
- Austin, TX, North Port, FL and Los Angeles, CA, all posted the biggest year-over-year increases, up 6.3% in each metro area, followed by Miami, FL (5.1%) and Provo, UT (4.8%).