More Homes Enter the Housing Market

High prices and strong demand are giving more owners the confidence they need to list their home. Earlier this month, the housing market saw an incremental uptick in listings following four weeks of stability or growth - a welcome sign for buyers who have been competing over limited inventory for months. As these new properties come to the market, owners are listing them for an average of $38,000 more than homes listed one year ago.2

Pandemic Shifts Buyers' Tastes

COVID-19 has changed our day-to-day lives, but its impact on real estate trends could last for years. Even before the virus became widespread, homeowners began migrating to the suburbs. Now, outward migration is happening even more rapidly. Developers also are stepping back from amenity wars and are focusing instead on health and wellness in housing design. Large, urban markets - such as Boston, Los Angeles, New York, San Francisco, and Washington, D.C. - could take three to five years to return to their pre-pandemic housing market highs.3

Refinancing Remains the Rage

Refinance lending jumped more than 60% in the second quarter after rates for 30-year fixed-rate mortgages dropped to 3.13%, down from 3.5% in the first quarter. Compared second quarter 2019, refinances spiked 200%. Even with the massive increase in activity, almost half of the eligible 30-year mortgage holders have yet to take advantage of refinancing their mortgage. If you are one of the 18.9 million borrowers with a 720 credit score or higher and at least 20% equity in your home, you may qualify to reduce your rate by at least 0.75%.4Sources: 2Realtor Magazine, 3Realtor Magazine, 4Forbes