The Frenzy Continues
Demand got hit harder than supply in April and May but demand returned to 2019 levels in June. Supply fell less but only rebounded halfway back to its June 2019 levels.
We’re probably past the buying peak – the number of houses going under contract to buyers (not shown in the graph below) was down a bit the last 2 weeks. But the market is still in a frenzy because the number of houses hitting the market is still running 10% below last year after running 20% below last year in April and May.
Demand. Single-family house sales in April and May were down a total of 31% from 2019 but sales completely rebounded in June and were essentially the same as in 2019.
Supply. The number of single-family houses hitting the market in April and May was down a total of 20% from 2019 but only rebounded halfway back to normal in June. The number of houses hitting the market was still down 10% in June compared to 2019.
For national real estate market updates, check out my other website, Real Estate Decoded.
This is the big mystery – Why haven’t new listings rebounded all the way back to normal when sales have rebounded all the way back to normal?
The number of houses for sale last week was almost half of last year and continues to fall, although it’s not falling very fast now.
The number of houses under contract actually fell a little bit last week. We MAY be more than halfway through the pent-up demand from those people who delayed buying in March, April and May.
The number of single-family houses sold in June 2020 was essentially the same as in June 2019.
This information can vary a lot in different parts of metro Phoenix. Your real estate agent can find the data for your specific city or zip code at The Cromford Report.
Feel free to leave real estate questions in the comments or call me at (480) 600-0947 and let’s chat.
Note. This post was written on July 5, 2020 but the graphs will be continually updated.
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