Pending sales were only down -2.9% in December (compared to December 2019). The average sales price increased +14.4%, a very healthy climb. However, months supply of inventory is way down again, a whopping -47.8%. This stat changed more than any other. There is only a 1.2 month supply of inventory, which is extremely low, and indicates a strong sellers market.
December is normally one of the slowest months of the year but strong buyer demand across most segments of the market, buoyed by near-record low interest rates, continue to drive a healthy sale pace in the face of the new wave of COVID-19 infections and a softening jobs market.
With low mortgage rates and strong buyer demand in most market segments, the housing market of early 2021 looks to continue the trends we saw in the second half of 2020. Low inventory and multiple offers on in-demand properties and market segments are likely to remain common while the market waits and hopes for a boost in new construction and a surge in home sellers to help provide more balance to the market.
All data from Triad MLS. Report © 2020 ShowingTime.