Vallejo and San Francisco, California ranked first and second in the nation’s hottest housing market list, according to Realtor.com. California occupied nine spots in the top 20 ranking. However, the lack of inventory was evident in June’s housing market.
The list got stirred up compared to May as new markets emerged and existing ones fell a few steps down. Waco, Texas took a huge leap on a month-over-month comparison. It rose from the 30th place to the 12th rank in June. Detroit had an impressive upward movement as well, rising to 6th place from last month’s 18th spot.
As Other Markets Rose, Some Took a Deep Plunge
Boston, Massachusetts dropped to 5th place from being 3rd last May. Kennewick, Washington took Boston’s spot at 3rd place, up from its 5th ranking in May. Also falling from their previous claimed spots last month are Midland, Texas and Fort Wayne, Indiana. Midland now ranks 15th from last month’s 8th spot, while Fort Wayne takes 16th place from its previous 11th spot.
Realtor.com Manager for Economic Research Javier Vivas said, “Most of this fresh inventory isn’t addressing the largest, most desperate group of buyers. With no clear hints of new construction providing short-term relief, there appears to be no end to the inventory shortage on the horizon.”
Home Shortage Much Evident in June
June had 536,000 of new listings for sale; however, this inventory is significantly lower by 11 percent from a year ago. Most of these listings are targeted the upper-income brackets, leaving those in the middle and lower tiers with too few.
“The housing market has now gone 24 months in a row seeing inventory drop on a yearly basis, the longest streak in over two decades,” Vivas added. The shortage is evident on how fast homes are sold. Properties stay 5 days lesser in the market compared to a year ago. The curbed growth has had prices rising. The countries median price for homes has reached $250,000.