Phoenix median home selling price hits $ 400,000
June created the perfect trifecta for a hot housing market: June’s home sales and prices both set report records, while inventories rose for the first time in 15 months. The record-setting industry saw the median home selling price in Phoenix reach $ 400,000, a 30.1% year-over-year increase.
June, typically the most important month of the year for home sales, saw sales climb 14.2% from a strong May and surpass all other months in the history of 13 years of the report, which covers 53 metropolitan markets. The median selling price of $ 336,000 was also a report record, eclipsing the previous record of $ 320,000 – fixed in April and equaled in May – by 4.9%.
READ ALSO: 5 Arizona housing market forecasts for 2021
The number of homes for sale, meanwhile, rose 1.9% from May – the first increase since March 2020. Inventory, however, has consistently remained 37.5% lower june 2020 levels.
“June saw a unique case of supply and demand rising in unison, with an increase in the number of sellers putting their homes up for sale – a very welcome sign for frustrated buyers,” said Nick bailey, President, RE / MAX, LLC. “People are moving as businesses and individuals make long-term decisions about working remotely and returning to the office. In addition, sellers seem more confident about the possibility of finding alternative accommodation after selling their current accommodation. If these trends continue, inventory levels should continue to increase.
With year-over-year comparisons skewed by the pandemic, the May to June averages for 2015-2019 are useful in illustrating what is typical at this time of year. June has been the top month for home sales in four of the past six years:
• June 2021 Home sales rose 14.2% month over month, more than doubling the average gain of 6.4% from May to June in 2015-2019. Year over year, sales increased 26.4%.
• June Median Selling Price of $ 336,000 was 4.9% from May, very similar to the typical 4.6% increase from May to June. Year-over-year, the price for June is 21.9% higher than that for June 2020 $ 275,000.
• The 1.9% increase in inventories from May to June was well above the typical 0.6% gain. Still, inventories were down 37.5% year over year.
The average number of days on the market of 24 in June was four days less than in May and represented a faster sale of 21 days compared to june 2020. The 1.1 month inventory supply in June compares to 1.2 in May and 2.2 year over year.
Highlights and local markets topping various measures for June include:
Median Selling Price – Median of median prices of 53 subways
In June 2021, the median of the 53 metropolitan median selling prices was $ 336,000, up 4.9% compared to May 2021, and up 21.9% compared to june 2020. Fifty-one metropolitan areas grew year over year by double-digit percentages, led by Boise, ID at + 38.0%, Augusta, me at + 34.7%, and Phoenix, Arizona at + 30.1%. No metropolitan area has experienced a year-over-year decline in the median selling price.
Of the 53 metropolitan areas surveyed in June 2021, the overall average number of home sales is up 14.2% compared to May 2021, and up 26.4% from June 2020. Leading the year-over-year sales percentage increases were Honolulu, HI at + 92.3%, New York, New York State at + 80.6%, and Miami, Florida at + 78.4%.
Months of supply in stock – Average of 53 metropolitan areas
The number of houses for sale in June 2021 was up 1.9% from May 2021 and down 37.5% compared to june 2020. Based on the sale rate of homes in June 2021, the number of months of supply in stock decreased to 1.1 from 1.2 in May 2021, and decreased from 2.2 in june 2020. A six month supply indicates a balanced market equally between buyers and sellers. In June 2021, of the 53 metropolitan areas studied, no metropolitan area reported a supply of six months or more. The lowest month supply was a tie at five between Albuquerque, New Mexico; Raleigh-Durham, North Carolina; Manchester, New Hampshire; Denver, CO; and Seattle, WA to 0.5.