Here’s a quick recap of the 2020 real estate market.
In 2020, COVID-19 came into play, which affected the entire market’s behavior. Interest rates fell as a result. Despite all the chaos, our market was pretty strong in terms of sales. In 2020, we had 16,600 total sales compared to 2019’s 14,400. That’s about a 15% increase over the year.
We also saw an increase in our new construction sales of about 700 units, leaving us with 2,846 new single-family and townhomes. The current number of active new construction homes is right around 1,120, which is down from 2019.
The biggest change we saw last year, however, was in our resale activity. In 2019, we had 2,005 active resale properties on the market; today we have 1,040. That means the market is congested, and we’re pretty tight in terms of inventory.
Total market activity surrounding active listings is down 37%. One of the main reasons for this is the number of sales we had. COVID-19 has probably kept a few sellers from listing until after the pandemic passes, but I expect that in 2021, we’ll see more activity in general. Inventory will likely stay low and buyers will still be out in droves because interest rates are projected to remain low. There’s also talk about how buyer demand will increase because the pandemic has forced many people to work from home, which in turn has caused people to realize that they need more space.
2021 will likely present its own range of challenges, but the market changes every year. If you’re curious about your real estate options in our current market climate or have any questions, don’t hesitate to reach out to us. We’d love to help.