Home sales surged in July

Home sales in July rose 8.7 percent year-over-year, ending a streak of year-over-year sales declines triggered by the COVID-19 pandemic, according to a report by Re/Max.

Through July, home sales are 4.8 percent below 2019, compared with the end of May when year-over-year home sales were 8.9 percent behind last year’s pace.

“The sharp gain in home sales in July – which was the best month of home sales in our report’s history – is further evidence of housing’s remarkable recovery amidst the pandemic,” Re/Max Holdings CEO Adam Contos said in a release. “Home sales typically peak in May or June, but this year we’re seeing an overlap of the spring and summer markets. And, as strong as July was, sales may have been even higher if inventory hadn’t been so tight.

“Buyers have returned to the market more quickly than sellers, likely spurred on by historically low interest rates and coronavirus-inspired lifestyle changes,” Contos said. “Home is the center of life in 2020, and the pandemic has caused people to reconsider their living situations – especially with so many people working from home. So far, buyers have shown they are willing to pay steadily increasing prices, so the months ahead could be very active, especially if more homeowners decide to jump in and sell.”

According to the report, the biggest year-over-year sales percentage increases were in Pittsburgh (25.9 percent); Des Moines, Iowa (25.2 percent); and Denver (22.3 percent).

RE/MAX said the metropolitan areas with the lowest days on the market were Omaha, Neb. (20); Cincinnati (24); and Seattle (25). The markets with the highest days on market averages were Des Moines, Iowa (94); Augusta, Maine (91); and Miami (90).