Washington, D.C.-area home prices remained higher than this time last year, according to new data Realtor.com released on Wednesday.
In its Oct. 2021 Oct. Housing Report, Realtor.com said the median list price of homes for sale in the DC area was $510,000 last month. That’s 1.6% above prices in Oct. 2020.
While home prices remain elevated in the metro area, so do the number of active listings on Realtor.com. The company said there are 8.3% more homes for sale through their platform in Oct. than the year before.
Yet, that doesn’t necessarily mean the area has enough homes for sale to meet demand.
The number of active listings in Oct. was down from Sep. when there were 17.8% more active listings on Realtor.com than in Sep. 2020. And new listings on the website were down .9% from the year before.
Housing industry insiders cite too few homes for sale as a big reason home prices are rising across the country.
Nationwide supply crunch keeps home prices high.
Indeed, in its latest report, Realtor.com said the nation’s housing inventory challenges aren’t improving.
“The housing market is settling into a pattern of steady, high single-digit price growth, fast-moving inventory, and a consistently shrinking inventory of homes for sale,” the company said in its release.
Active listings on Realtor.com for the country were down 21.9% last month and 51.9% from Oct. 2019. The number of homes for sale across the country started nosediving in spring 2020 as the COVID-19 pandemic took hold, and they’ve yet to recover.
That supply crunch is keeping home prices high. In October, the national median list price was $380,000, 8.6% higher than last year and 21.8% above 2019.
It took a typical home 45 days to sell in Oct. That’s eight days faster than last year and 21 days faster than in 2019.
Where the market’s hottest, coolest
The nation’s hottest real estate markets continue to be in the west and south.
Median list prices in western states are 9.7% higher than this time last year, and in the south, they’re 9.4% above 2020 levels.
Year-over-year price growth is most robust in Austin, where median list prices are 32.5% more than in Oct. 2020. Next are Las Vegas (27.2%) and Tampa (21.8%).
It took an average of 32 days for a home to sell in Austin, 31 in Las Vegas, and 37 in Tampa.
On the other side of the coin, median list prices fell the most in Detroit (-8.9%), Milwaukee (-8.3%), and Philadelphia (-8.3%).
Still, despite slipping home prices in a few cities, most areas are experiencing higher prices than this time last year. Unfortunately, it’s a situation Realtor.com doesn’t see resolving any time soon.
“As many sellers are also homebuyer hopefuls, the low supply of homes for sale to move into also makes the decision to list a home more difficult,” Realtor.com said. “It can be challenging for the housing market to lift itself out of this holding pattern, and we look to increased construction to help supply meet demand in the next year.”