House prices surge in the US: the housing market is hot!
The US housing market is HOT right now! Despite a year of upheaval due to COVID-19, and many resultant job losses, the pandemic has pushed people to sell up and move out of the city. The demand for houses is high and when demand increases, so do property prices!
House prices surge
So, how much will you have to pay for a home in 2021? US house prices are at a 6-year high. In February 2021, the median house listing price in the US was $353,000.
Low mortgage rates, a short supply of homes, and a mass exodus from cities mean property in suburban areas is selling fast.
After a tumultuous year, 2021 brings vaccines and a fresh hope that life will soon return to some kind of normal. And the housing market shows little sign of slowing down as the US begins its post-pandemic recovery; mortgages are up to pre-pandemic levels.
Fun fact!
If you travelled back in time 100 years to 1921, a new home would have set you back around $5,000 — equivalent to $73,000 today.
Migration
Lots of people are moving from state to state. City dwellers are leaving their apartments behind in search of more space in the suburbs and the shift to remote working means proximity to the workplace is less important to home buyers. The pandemic has changed our priorities, as well as the way we view and use our homes. Gardens, home gyms and home offices are no longer nice-to-haves, but must-haves.
Which areas are hot?
Home sales are booming in many states of the US. In fact, recent data from Zillow shows home values increased in all 100 of the largest metros in the US. iLENDi is based in Dallas and we’ve certainly noticed the change here in our home market! Dallas-Fort Worth is forecast to see the highest increase in home sales in 2021 among US metros: Dallas home sales are expected to be up 11.3% according to Realtor.com.
Top ten housing markets
According to the National Association of Realtors these are the hottest property areas right now:
- Atlanta, Sandy Springs, Alpharetta — Georgia
- Boise City — Idaho
- Charleston, North Charleston — South Carolina
- Dallas, Fort Worth, Arlington —Texas
- Des Moines, West Des Moines — Iowa
- Indianapolis, Carmel, Anderson — Indiana
- Madison — Wisconsin
- Phoenix, Mesa, Chandler — Arizona
- Provo, Orem — Utah
- Spokane, Spokane Valley — Washington
How much is my home worth?
The property price surge is good news for sellers! You are probably wondering how much your home is worth now?
Use our home valuation tool to get a location-based estimate here:
Check out more tips on how to value your home on the iLENDi blog.
Key takeaways
- Despite COVID-19 and an economic downturn, the US housing market is booming.
- Home prices are up! The increase has been driven by a perfect storm of factors;
- Low mortgage rates
- Short supply of homes
- Relocation from cities to the suburbs
iLENDi can help you find a great deal on your mortgage. Find everything you need to buy or refinance your home all in one place, online.
What does a house wear to a party?
Address!
