The 2021 housing market was one for the history books. After three consecutive months of increases recently, existing home sales are on pace to hit their highest level in 15 years, with an estimated 6 million homes sold in 2021, according to the National Association of REALTORS® (NAR). Sales prices reached new heights, inventory hit rock-bottom and homes sold in record time, often for well above asking price. Mortgage rates, which began the year at historic lows, remain attractive, and homeowners who choose to sell in the coming months can expect to see plenty of buyer activity due to pent-up demand during the pandemic.

New Listings
New listings decreased 28.4% for single family homes and 30.9% for townhouse/condo homes.

Pending Sales
Pending sales decreased 40% for single family homes and 50.5% for townhouse/condo homes. Inventory decreased 47.6% for single family homes and 48.3% for townhouse/condo homes.

Median Sales Price
Median sales price increased 16.5% to $955,000 for single family homes and 13.5% to $590,000 for townhouse/condo homes.

Days on Market
Days on market decreased 24% for single family homes and 40.6% for townhouse/condo homes.

Supply

Months supply of inventory decreased 53.3% for single family homes and 50% for townhouse/condo homes.

Into 2022
Looking ahead, experts anticipate many of the housing market trends of 2021 will continue in 2022, albeit at a more moderate level. Strong buyer demand and inventory shortages are likely to persist over the next year. Home sales are projected to remain strong but will be tempered by the limited supply of homes, higher sales prices, and rising interest rates, with the Federal Reserve planning multiple rate hikes in the new year. Price growth is expected to slow somewhat as a result, but affordability will likely remain a top constraint for some homebuyer.

--
[This report was provided by the Pacific Association of REALTORS® (PWR)]