Existing home sales dropped for the first time in 2021, down 6.6% from January 2021, according to the National Association of Realtors (“NAR”). While this is not cause for alarm, as the February 2021 sales were still 9.9% higher than February 2020. Notably, existing home sales increased by 4.6% in the Western Regions of the country. In addition, February 2021’s median existing home price is roughly 16% higher than February 2020, at $313,000, while inventory is down 30% during the same timeframe.
Much like the new construction sector is slowing down, so is the housing market. However, most economists expect business to pick up again in the coming months. Many experts hold this opinion notwithstanding the strain low inventory is placing on the market. However, as is the case where a market’s demands exceed its supply, the market will find a way to correct itself; be it through new construction, or sellers placing homes on the market as we begin to see light at the end of the COVID tunnel.
At the Chernov Team we understand that knowledge is power, and knowledge of market conditions is powerful knowledge indeed. At the Chernov Team we know that whoever comes to the table most prepared leaves with the most, and the Chernov Team always leaves the table with the most.