As mortgage rates rise in concert with The Fed’s rate hikes this month, fears about the American housing market pricing out tens of millions of would-be homebuyers continue to fester.
The interest rate on a 30-year fixed rate mortgage is hovering around 6%.
And not only is it becoming more expensive to borrow money, but most real estate investors and builders have said they don’t anticipate housing prices will drop significantly but will instead grow at a slower rate.
There are signs this week, however, that the real estate market is shifting ever so slightly toward the buyer. May data shows home builders have started lowering prices for newly built homes as demand has cooled.
Home sales in May were down 8.6% year over year, according to the National Association of Realtors. It’s the fourth-straight month of declining activity. May also saw the median home price break $400,000 for the first time in history.
"We’re not going to see distressed sales, but we could see a decline in prices if the economy is hurt so bad that buyers just can’t afford the high prices that sellers want,” Redfin’s chief economist said this week in response to the release of housing data from May.
To help you stay current on the market, ZeroDown compiled a weekly real estate market report using data from Redfin. Statistics are as of the four weeks ending June 19, 2022. Metros with more than 50 homes sold during this time period were considered for metro-level rankings for each statistic.
Median sales price: $399,998
- One-year change: +14.0%
Metros with highest median sales price
#1. San Francisco, CA metro area: $1.6 million
#2. San Jose, CA metro area: $1.5 million
#3. Santa Cruz, CA metro area: $1.2 million
Metros with lowest median sales price
#1. Davenport, IA metro area: $127,375
#2. Bay City, MI metro area: $136,438
#3. Cumberland, MD metro area: $138,338
Median sales price per square foot: $213
- One-year change: +15.9%
Metros with highest median sales price per square foot
#1. San Francisco, CA metro area: $1,111
#2. Kahului, HI metro area: $945
#3. San Jose, CA metro area: $917
Metros with lowest median sales price per square foot
#1. Pine Bluff, AR metro area: $86
#2. Carbondale, IL metro area: $86
#3. Peoria, IL metro area: $87
Average sales to list price ratio: 1.02
- One-year change: +0.00
Metros with highest sales to list price ratio
#1. Rochester, NY metro area: 1.17
#2. Buffalo, NY metro area: 1.11
#3. Oakland, CA metro area: 1.10
Metros with lowest sales to list price ratio
#1. Springfield, MO metro area: 0.91
#2. Pine Bluff, AR metro area: 0.96
#3. Lake Charles, LA metro area: 0.96
BROWSE: Homes for sale in Orlando, Florida.
Homes sold with price drops: 11.8%
- One-year change: +1.7%
Metros with most homes sold with price drops
#1. Beaumont, TX metro area: 25.9%
#2. Grants Pass, OR metro area: 25.6%
#3. The Villages, FL metro area: 25.4%
Metros with least homes sold with price drop
#1. Springfield, MO metro area: 0.0%
#2. Elkhart, IN metro area: 0.0%
#3. Columbia, MO metro area: 0.0%
Off market in two weeks: 47.6%
- One-year change: -2.4%
Metros with the most homes off market in two weeks
#1. Rochester, NY metro area: 87.0%
#2. Kalamazoo, MI metro area: 80.3%
#3. Wichita, KS metro area: 80.1%
Metros with the least homes off market in two weeks
#1. Urban Honolulu, HI metro area: 1.6%
#2. Oshkosh, WI metro area: 3.9%
#3. Corvallis, OR metro area: 4.0%
Months of supply: 8.2 months
- One-year change: +0.7 months
Metros with the most months of supply
#1. Lake Charles, LA metro area: 220.1 months
#2. Springfield, MO metro area: 71.1 months
#3. Joplin, MO metro area: 47.8 months
Metros with least months of supply
#1. Greenville, NC metro area: 3.6 months
#2. Wichita, KS metro area: 4.0 months
#3. Columbus, IN metro area: 4.0 months
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