The number of homes for sale dropped nearly 20 percent in July, according to a report from Redfin.
The real estate brokerage said the 1.9 million homes available for sale in July was lowest level of any July on record.
In July, the home supply dropped 22 percent year-over-year in San Antonio; 12 percent in Baltimore; and 20 percent in Frederick, Md., Newark, N.J., and Chicago.
“There’s a perfect storm in the housing market right now,” Redfin Baltimore Market Manager Jason Allen said in a release. “People are more comfortable staying in their homes; they’re investing in pools, offices and better backyards instead of moving. But at the same time, there are suddenly a lot more people who want those amenities, so we’re seeing this huge wave of buyers. We’re meeting far more clients who want to buy a home than sell a home.”
“Buyers are willing to pay more for a house than I’ve ever seen — I’m talking $30,000 to $50,000 over the listing price, compared with maybe $5,000 or $10,000 over before the pandemic,” Redfin Baltimore agent Dan Borowy added “They’re desperate because homes are flying off the market so quickly. I’m selling all of the homes I’m listing within three days.”
Bucking the nationwide trend, the report found that supply of homes increased 51 percent year-over-year in July in San Francisco. It increased 13 percent in New York and 7 percent in San Jose, Calif.
“With offices and entertainment shut down, there’s no incentive to stay in San Francisco,” Redfin agent Carlos Barrientos said. “We have a very high concentration of tech jobs, which means we also have a very high concentration of people who can leave the city for parts of the state with bigger backyards.”