Signs for slowing price growth rate
May’s median existing-home sales price was 18.8% higher than it was in May 2020. That double-digit year-over-year trend has been consistent for 10 of the past 11 months. And while it’s less than the average sales price growth rate, it’s a better measure of the market.
It’s better because it sets the middle point for prices instead of the average, which has recently skewed higher with the sales of high-end homes.
At the same time, the difference between the median listing price and median sales price has moved into the double-digit range for the first time in six months. During May the discount was 12.8%. In February, the homes sold at the median listing price. During the other four months, discounts ranged from 2.6% to 6.3%.
Many market experts think that a return to seasonal patterns, which the local market has seen in the past two months, with slightly more inventory will moderate the price growth rate.