U.S. home-sale prices increased 5.2 percent year-over-year in November to a median of $311,600, according to a new report from Redfin.
Redfin said the increase in home-sale prices in November was the largest since July 2018, when home prices jumped 5.6 percent from a year earlier.
“Given that inventory is falling quickly, we’d expect to see even stronger price growth, especially when compared to last year’s soft market,” Redfin Chief Economist Daryl Fairweather said in a release. “The fact that homes are selling faster indicates that there are buyers ready to pull the trigger and take advantage of low interest rates.”
“If lack of inventory and high demand continues, buyers who take a wait-and-see approach could face less favorable conditions in the spring season like bidding wars and faster price growth,” Fairweather said.
According to the report, the metro areas with the biggest home price gains in November were Camden, N.J. (14.3 percent); Detroit (12 percent) and Bakersfield, Calif. (11.6 percent). During November, only one of the 85 largest metro areas had a year-over-year decline in the median sale price (San Jose, Calif.)
Redfin identified the November markets with the biggest increases in home sales from a year ago as McAllen, Texas (14.7 percent); Anaheim, Calif. (10.2 percent) and Virginia Beach, Va. (9.2 percent).