Competition
in
the
housing
market
is
heating
up
heading
into
May
and
June.

Home
prices
are
surging
in
major
U.S.
metros,
with
coastal

California
cities and
Seattle
leading
the
charge
in
monthly
home
value
growth,
according
to
Zillow’s
newest market

report.

San
Jose,
San
Francisco,
Seattle,
San
Diego
and
Los
Angeles
reign
as
the
priciest
markets
among
the
nation’s
top
50
metros.
Bidding
wars
are
commonplace
in
these
areas,
exacerbated
by
a
scarcity
of
options.
These
metros
also
continue
to
grapple
with
below-average

inventory
recovery,
maintaining
pressure
on
buyers.

Conversely,
Southern
metros
are
experiencing
subdued
appreciation.
New
Orleans,
San
Antonio,
Tampa,
Orlando
and
Jacksonville
are
among
the
locales
that
posted the
slowest
month-over-month
price
growth
in
March.

New

listings
of
existing
homes
have
risen
from
pre-pandemic
levels
in
cities
like
New
Orleans
and
Austin,
while
San
Antonio
and
the
aforementioned
Florida
metros
have
seen
some
of
the
smallest
drop-offs.
Recovering
inventory
in
these
areas
has
helped
to
ease
competition
and
bring
price
appreciation
under
control. 

New
Orleans,
Austin
and
San
Antonio
are
the
three
markets
where
buyers
have
more
choices
than
before
the
pandemic,
while
Tampa,
Orlando
and
Jacksonville
are
down
only
9%,
tied
for
the
second-smallest
drop. 

“Shoppers
in
the
market
today
should
expect
competition,
especially
for
attractive
listings
on
the
lower
end
of
the
price
range
—
a
rare
opportunity
these
days,”
Skylar
Olsen,
Zillow’s
chief
economist,
said
in
a
statement.
”That’s kept
prices
ticking
upward
in
most
areas,
despite
affordability
challenges. 

“There
are
places
where
new
construction
relieved
some
pressure,
and
where
homeowners
are
less
locked
into
their
mortgage,
but
not
in
the
nation’s
most
expensive
metros.
In
costly
areas,
homeowners
hold
extensive

mortgage
debt
at
previously
low
rates,
and
the
pressure
is
dialed
up
even
further.”

Competition
is
stiff
for
attractive
listings.
Homes
sold
in
March
changed
hands
in
just
13
days,
slightly
slower
than
in
recent
years
but
significantly
faster
than
pre-pandemic
standards.
Whether
in
the
Midwest
or
in
affluent
coastal
metros
like
Seattle
and
Washington,
D.C.,
properties
are
spending
minimal
time
on
the
market.
Sold
homes
were
listed
for
a
week
or
less
in
17
major
metros. 

In
March,
more
than
one
in
five
sellers
cut
their
list
price,
especially
in
markets
like
Tampa,
Phoenix,
Jacksonville,
San
Antonio
and
Orlando.
On
the
other
hand,
nearly
27%
of
homes
sold
for
more
than
list
price
in
February,
compared
to
less
than
19%
in
2019. 

As
the
market
enters
April
and
May,
buyers
can
anticipate
an
even
fiercer
competition
for
well-marketed
properties,
while
others
may
linger
longer
on
the
market.
The
median
age
of
listings
on
Zillow
currently
stands
at
43
days,
reflecting
the
varying
dynamics
across
different
segments
of
the
housing
market.

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