The housing market throughout most of 2020 and into 2021 has been a whirlwind; however, some markets have gained more momentum than others. Real estate markets can vary widely from one location to another. In some of the hottest markets, prices have risen by more than 20% over the past year while in other cities and metro areas, growth has been more moderate.
Using data from the Emerging Trends in Real Estate 2021 report by Urban Land Institute and PwC, we have the top 5 markets with the best overall prospects based on growth, homebuilding outlook, affordability, and job prospects.
The Triangle region — Raleigh, Durham and Chapel Hill — had an average sales price of $381,732, up 16.8% compared to the year before. Homes also sat on the market for 15 days on average in 2021 compared to 32 days in 2020. As of June 2021, there were 2,553 homes on the market in the Triangle region, not even a full month’s supply of inventory. Raleigh-Durham was also ranked as the number one large market for housing construction growth among the nation’s 80 largest markets as more people move to the area.
The report also highlights how the Raleigh-Durham market is a popular in-migration destination due to the area’s lifestyle, culture, and employment opportunities. While not necessarily inexpensive, the Raleigh-Durham market is attracting newcomers from bigger cities such as Seattle, San Francisco, Los Angeles, Boston, and New York City.
Austin, the state capital of Texas, has hit several records this year so far. Home sales in the City of Austin in the first half of the year increased 21.6% year-over-year to 6,467 sales, while the median price increased 30.9% to $530,000. New listings increased by 4.8% to 7,851 listings; active listings declined 56.5% to 603 listings; and pending sales increased 18.1% to 7,235 pending sales.
The Austin market has seen more activity than ever before in recent months and was also listed as the number two large market for housing construction growth. The population in the five-county Austin metro increased to an estimated 2,295,303 people as of July 1, 2020, an increase of 3% from the year before. This was the fastest population growth among metros with at least 1 million people.
Despite the economic slowdown, Nashville remains one of the hottest housing markets in the U.S. According to Greater Nashville REALTORS, there were 4,615 active listings in June with 3,608 pending sales. There were also 4,649 closings last month, up 11% from the same month last year. Over the past five years, home values in Nashville have increased by 53.5% and in June, the median list price of homes was $385,000, up 13.2% year-over-year. Homes also spent an average of 27 days on the market before being sold.
Demand and low-interest rates have made it common for homes to receive 25 to 30 offers in less than a week on the market. Recently, dozens of homes sold for at least $30,000 over the asking price, with some prices going much higher.
The median home price in Dallas County was $330,000 in June 2021, up 22.2% compared to June 2020. Closed sales were also up 7.2% year-over-year with a total of 56 days on the market to close, 21 fewer days than June 2020. There were also fewer months of inventory in June compared to the previous year — 1.3 months versus 2.8. The median home price in Tarrant County was $310,000 in June, up 21.6% from last year.
Over the last couple of months, the Dallas-Forth Worth housing market has slowed somewhat but is still red-hot. New listings fell 5% in June and total supply remains down by more than half compared to a year ago.
More than 5,500 homes sold in the Charlotte region during June 2021 than in the same month a year ago, representing a 4.8% increase over home sales in June 2020. According to June 2021 data, the median sales price ($335,000) and the average sales price ($406,176) rose 18.4% and 21.9% year-over-year respectively.
Looking to sell? Home prices are up in almost every real estate market across the U.S., allowing sellers to get top dollar. With Ribbon’s buy before you sell, you can buy with confidence with an all-cash offer before you sell. Having your next home secured means you can list your existing home right away or take the time to list at your convenience. Ribbon puts you in the driver’s seat, even in a white-hot real estate market.
Buyers haven’t had it easy, but it doesn’t mean they don’t stand a chance. Ribbon can help you outcompete in a multiple offer situation as a cash buyer. By making a cash offer, you can increase your offer’s chance by 3x — meaning less time spent searching for your dream home.
Don’t let a little competition hold you back. Contact Ribbon to learn more about how we help buyers, sellers, and their agents in one of the hottest housing markets in recent history.