Today I’m sharing the December 2019 real estate market recap, which is very different than December 2018. That’s a great sign for 2020.
In December, we had an 8.6% decrease in new homes coming onto the market compared to December 2018. We also had a decrease of 21% in active listings. Additionally, we had a 35% decrease in the months’ worth of inventory available; we’re currently sitting at 2.02 months’ supply. However, we had a 20.2% increase in the number of homes sold year-over-year. At 0:26 in the video above, you can view a chart that lays out each number of these four statistics from September 2018 through December 2019.
What’s unusual is that inventory was dropping but buyer demand was increasing. Why? Rates were dropped by the Fed again, so more buyers were coming into the marketplace. Many buyers who were waiting until 2020 to purchase a home decided to buy in the fourth quarter of 2019 instead. They wanted to lock in an excellent interest rate while it was below 4%.
Now, in January, I have more and more people reaching out to me wanting to move, more than in recent years. With rates as low as they are, and with it being an election year, I believe many people will move in 2020. This is a wonderful time to make a move; rates are low and prices are stable—in many markets, they are still going up. Take advantage of these exceptional numbers while you can!