Global real estate franchise RE/MAX in a report has revealed that U.S. August home sales slightly plunged 3.5% from the July total, indicating that this year’s busiest home buying and selling months might be over. However, on a year-over-year basis, August recorded one of the highest homes sales growth, according to the official data.
The firm notes that August’s sales were one of the largest of any month in the 13-year history of the firm’s reports. RE/MAX states that despite the slight drop in home sales, the real estate market is still active coming from a summer peak.
Significant homes sales year-over-year growth was recorded in New York at 55.1%, Honolulu at 37.3%, and Las Vegas at 12.5%.
“In fact, the drop in home prices might signal to potential sellers that it’s time to get off the fence in case they fall further, which in turn could draw more buyers back into the mix. In any case, it seems likely that the combination of super-quick sales and a severe lack of inventory will be with us for the foreseeable future,” said Nick Bailey, President of RE/MAX.
Median sale price also drops
The firm further states that the Median Sale Price dropped 1.2% to $335,000. The figure was up 13.2% from August 2020.
RE/MAX also revealed that no metro areas recorded a year-over-year decrease in Median Sales Price. Notably, 36 metro areas increased year-over-year by double-digit percentages.
Between July and August, the report states that a 6.2% month-over-month drop in active inventory. The figure was almost double compared to the 2015-2019 average July-to-August decline of 3.3%.
The report on home buying and selling also reflects the variations in average days on the market. According to RE/MAX, the average days on the market for homes sold in August 2021 was 24, up from July 23.
The days also reflected the pandemic’s impact considering that the days were 18 fewer in August last year.