Stock Groups

Five ways the U.S. housing market stood apart in 2021 -Breaking

by Mike Robinson

[ad_1]

© Reuters. A subdivision is home to new townhomes, while supplies of building materials are high in demand in Tampa (Florida, U.S.A), May 5, 2021. REUTERS/Octavio Jones

By Dan Burns

(Reuters) – Although the market for U.S. home sales slowed unexpectedly in December and 2021 had the best annual sales figures in fifteen years, Thursday’s data from the National Association of Realtors showed.

Five standout facts are available from the 2021 Housing Market:

(Graphic: Existing home sales hit 15-year high in 2021, https://graphics.reuters.com/USA-ECONOMY/HOUSING/akvezewwbpr/chart.png)

HIGHEST ANNUAL SALES EVER SINCE 2006.

For the first time ever, sales for 2018 surpassed 6,000,000 homes. They also increased 8.3% over 2020’s total. This is the largest growth since 2013.

(Graphic: Record-low number of homes for sale, https://graphics.reuters.com/USA-ECONOMY/HOUSING/movanwaabpa/chart.png)

Fewer Homes for Sale

Although there were less homes for sale, the sales rose. NAR has never recorded fewer than 920,000 properties for sale in the last year.

Each month, there were fewer homes available than in the previous year for the past 30 months.

(Graphic: Home prices saw double-digit growth through 2021, https://graphics.reuters.com/USA-ECONOMY/HOUSING/klpykqywzpg/chart.png)

GAINS DOUBLE DIGIT PRICE

In 2021, prices reached new heights due to the combination of a short supply and high demand caused by the pandemic coronavirus. For 19 consecutive months, the sales price has seen double-digit growth year over year.

(Graphic: A pandemic home price shift, https://graphics.reuters.com/USA-ECONOMY/HOUSING/klpykqyrzpg/chart.png)

PANDEMIC PRICING MIX SHIFT

Prices rising quickly, the ratio of available homes by price has changed at a breakneck pace during the pandemic. Since the outbreak, the share of homes sold in the three highest price ranges ($500,000- $750,000; $750,000- $1 million; $1 million or more) has nearly doubled. Long the most popular price bracket for homes, $100,000 to $250,000, has seen a decline at an alarming rate. Now, less than half of all home sales are in this range.

(Graphic: Tough housing market for first-time buyers, https://graphics.reuters.com/USA-ECONOMY/HOUSING/znpnelaoovl/chart.png)

TOUGH MARKET FOR FIRST-TIME BUYERS

Rising prices are making it more difficult for first-time buyers, particularly with limited supply. The last quarter of 2021 saw a decrease of 30% in sales from first-time buyers, which is the lowest figure in over a decade.

Disclaimer: Fusion MediaWe remind you that this site does not contain accurate or real-time data. CFDs are stocks, indexes or futures. The prices of Forex and CFDs are not supplied by exchanges. They are instead provided by market makers. As such, the prices might not reflect market values and could be incorrect. Fusion Media does not accept any liability for trade losses you may incur due to the use of these data.

Fusion MediaFusion Media or any other person involved in the website will not be held responsible for any loss or damage resulting from reliance on this information, including charts, buy/sell signals, and data. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.

[ad_2]