The increased demand for homes coupled with depressed supply has caused U.S. home prices to get dangerously close to an all-time high. This was revealed in Redfin’s recent report about the state of the market for June.
According to the report, the median home sale price in the U.S. for June came at $426,056. This was only 1.5% below the record of $432,397 that was set in May 2022.
On the other hand, there were 1,318,154 homes on the market in June, which represents a 15% drop compared to the same period in 2022 and represents an all-time low. The new listings have been particularly scarce at 450,000 units, declining by more than 30% compared to last year.
Redfin’s Chief Economist Daryl Fairweather says that the housing market remains “hot” despite the fact that there aren’t many sales taking place. A total of 404,331 homes were sold in June, which constitutes a 19.8% drop compared to the same month of last year.
“Sellers are getting multiple offers if their home is priced well and in a desirable area even though there aren’t a lot of buyers out there. That’s because house hunters have so few homes to choose from,” Fairweather concluded.