Source: PR Newswire —
Knock Buyer-Seller Market Index shows that nation’s largest housing markets did not favor buyers or sellers in October
- The shift toward buyer-favorability is occurring in neutral and more-buyer friendly markets, while the hottest sellers’ markets are cooling at a slow pace, remaining firmly in seller territory
- Of the 100 largest markets, 51 were sellers’ markets, 39 were neutral and 10 favored buyers in October
- By October 2023, 26 markets are forecast to be buyers’ markets, 38 will be in seller territory and 36 will be neutral
- The housing market will approach balance by next October as the supply of homes for sale rises to 3.4 months
NEW YORK, Nov. 30, 2022 /PRNewswire/ — The U.S. housing market moved further in the direction of buyers last month as the markets that cooled the fastest in response to quickly rising interest rates and home prices continued to moderate, according to the Knock Buyer-Seller Market Index released today. At the same time, many of today’s seller strongholds show no sign of slowing down and some are expected to gain momentum over the next year.
The Index, which analyzes key housing market metrics to measure the degree to which the nation’s 100 largest markets favor home buyers or sellers, showed that the U.S. housing market entered neutral territory last month – the first time since July 2020 that neither buyers or sellers had the upper hand. All but one market – Fayetteville, N.C., – has moved at least marginally toward favoring buyers over the last 12 months, a trend that will continue over the next year. In October, 51 markets were sellers’ markets, 39 were neutral and 10 favored buyers.
The shift toward buyers’ markets is being driven by a number of key housing market metrics, most notably declining home sales. Just 127,000 homes were sold in the 100 largest housing markets in October, down 51.4% from 262,000 a year earlier and a record low of any month since November 2016, the beginning of Knock’s Buyer-Seller Market Index. The median home price was $388,000, compared to $360,000 a year ago, while average days on market increased to 19, up a full week from October 2021.