Published January 15, 2024

Catch the Latest Surge in Real Estate: Buyers Swarm Market as New Listings Soar!

Written by Chris Fritch

- As the new year began, buyer activity in the housing market increased.

- Mortgage-purchase applications rose by 3% in the first week of January compared to the previous month.

- Home tour requests increased by 5% from December.

- There was a 9% rise in new listings in the first week of January compared to the same period last year.

- Bad weather impacted homebuyer activity, with better weather areas like Phoenix seeing more activity.

- Competition in the housing market is expected to increase, with 24% of homes selling above list price in the recent period.

- The median price of homes sold was $363,125, up by 4.1% year-over-year.

- Bidding wars are resurging in cities with strong job markets.

- Buyers are selective, avoiding fixer-uppers unless in desirable areas at the right price.

- Mortgage rates play a key role in housing market demand, especially for first-time buyers.

- Recent mortgage rate decrease has led to a drop in monthly mortgage payments.

- Higher-than-expected inflation and unemployment rates may prevent a cut in interest rates, potentially keeping mortgage rates high.

- The annual inflation rate increased to 3.4%, with shelter costs being a significant factor.

- The share of listings with price cuts was under 16% in December, the lowest since April 2022.

- New listings in December were 9% higher than in 2022, breaking a 17-month streak of decline.

- Home prices remain high due to low active inventory.

- New construction could ease buyer demand, with single-family home construction increasing in November.

- Builders are offering incentives, with 36% reporting price cuts and 60% offering sales incentives.