In March, the average American home listing price reached $300,000 for the first time ever, according to Realtor.com’s Housing Trend Report.
“The typical U.S. home list price has set a new high right on the cusp of the spring homebuying season, and despite a slowing growth rate, home prices will likely continue to set new records later this year,” Realtor.com Chief Economist Danielle Hale said.
Unfortunately, Hale does not expect housing inventory to set records, especially as supply continues to lag.
“Heading into spring, U.S. prices are expected to continue to rise and inventory is expected to continue to increase, but at a slower pace than we’ve seen the last few months as fewer sellers want to contend with this year’s more challenging conditions,” Hale said. “A buyer’s experience will vary notably depending on the market and price point they’re targeting.”
In fact, according to Realtor.com’s analysis, entry-level inventory scarcity continues as homes priced $200,000 or below decreased 9% year-over-year.
That being said, inventory of for-sale homes priced over $750,000 rose by 11% from the previous year.
There were 56,000 additional homes were for sale in March compared to last year, amounting to a 4% increase year-over-year, according to the report. Realtor.com attributes this growth primarily to the nation’s 50 largest markets, which grew by 9% from the year prior.
The number of newly listed properties hitting the market declined by 0.4% from 2018, suggesting that although buyers may have more options, the share of “fresh properties” for sale has not increased, according to the company.