Median Listing Price in the US Hits All-Time High

Dated: May 14 2019

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When you put your home on the market, you want the list price to be competitive—but you also want it to be high. Typically, there’s a correlation between your listing price and the offers you receive on your home—so, the higher the list price, the higher offers you’re likely to get.

And if you’re looking to get high offers, now is a great time to list.

According to recent data from Realtor.com, in March, the median home list price in the United States grew 7% year-over-year—and reached $300,000 for the first time. That means that the current median listing price is at the highest point in history.

Lawrence Yun, chief economist at the National Association of Realtors, told FOX Business that he expects to see bifurcation in the housing market this year, with stronger price appreciation for homes with lower price points – for which there is “very strong demand.”“[These buyers] will be competing with other buyers trying to get that right home … [due] to a lack of inventory at that price point,” Yun said.

A construction worker shortage, which has continued to worsen, is exacerbating the inventory crunch, Robert Dietz, chief economist for the National Association of Homebuilders, told FOX Business. Throughout the spring, Dietz expects affordability to continue to decline, particularly in markets where local regulatory rules will constrain builders’ ability to add inventory.

On the flip side, Lawrence expects there will be little upside movement on prices for houses occupying the luxury-end of the spectrum, where there are too many sellers.

Inventory of higher-end homes (priced $750,000 and higher) rose 11 percent year over year, according to Realtor.com.

Adding to motivations for sales in the higher-end market are recent changes to state and local tax deductions, which were capped at $10,000 under the Tax Cuts and Jobs Act. Yun said people may be accelerating plans to unload properties in high-tax states like New York or Connecticut as a result of the changes. But as the spring buying season gets under way, potential homebuyers are getting a boost from low mortgage rates – which are near their lowest level in about 10 years. Low rates have led to a surge in refinance activity and purchase mortgage application demand – signaling Americans’ desire to enter the market.

The Takeaway

What does that mean for you? If you’ve been thinking about listing your home, now is a great time to make a move. With median listing prices at an all-time high, there’s never been a better time to sell—and fetch top dollar for your home.

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Ali Graeff

Two of my biggest passions in life are animals and real estate. For as long as I can remember, my life has revolved around both. Ive been in the real estate business for over 15 years and I’m a lif....

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