Recent Rate of Sales:
2021 began with extreme high demand and low inventory. Through the first half of the year, fierce buyer competition created bidding wars and “over-asking” sales that rapidly drove up prices. The market suddenly settled in June. With the arrival of vaccines, buyers felt freed from the shackles of COVID and anxious to get back to life’s normal distractions—vacations and gathering with family and friends.
Value Trends:
As demand settled, the market stabilized. There was a mild year-end decline in prices as average price per square foot slipped from $178 in June to $169 by year end. Prices typically fade in the last few months of the year as available inventory gets picked over like store shelves near the end of a sale.
Market Times:
Since their mid-year low, market times have gradually increased. They dropped from a 36-day average in January to 17 days in May and June, before recently ending the year with a 33-day average in December—5 days less than they were in 2020 and 17 days less than in 2019.
2022 Outlook:
Demand and sales finished 2021 on a high note. Strong demand will carry over into 2022. Expect buyer competition to again drive up prices of more affordable homes (but not as sharply as last spring). Sales will continue to shift with proportionally more upper-end homes in the mix, but those values will be slower in their rise.
