Suburban Homebuyer Demand Surges 42% Over Pre-Covid Levels

1299 NW McDaniel Rd, Powell Butte, OR 97753
Presented by Robin & Greg Yeakel | Offered at $2,950,000 | MLS# 220131797

From Forbes

Where buyers go shopping for a home shifted during the onset of the coronavirus pandemic given the rise of remote work as well as affordability concerns. For many Americans, the change could have lasting implications.

As employers firm up future work plans to include flexibility and give many Americans confidence in buying a home farther from the office, a new report shows suburban housing demand is heating up.

The number of suburban home shoppers has surged 42.1% since the onset of the pandemic and took a 24% bigger share of September views than listings in urban areas. While suburban housing is still relatively affordable compared to expensive urban areas, buyer demand is shrinking the home price gap down to just 7% from 10% in 2019.

Danielle Hale,’s chief economist, explained that the suburbs have always attracted buyers looking for more house for their money, but recent data reflects just how much suburban competition has intensified.

“With the rise in long-term remote work options and downtown rents making a rapid comeback, suburban versus urban housing dynamics are shifting,” she said, adding: “From inventory to time on market, recent data shows suburban buyer activity has accelerated at a faster pace than in urban areas.

“Notably, the price premium is shrinking between notoriously expensive urban housing and suburban for-sale homes, typically known for more bargains. Buyers can still get more bang for their buck in the suburbs, but affordability is increasingly a consideration in many markets. As the Covid recovery continues and home prices remain near record-highs, whether the suburban versus urban gap in housing costs keeps closing will be an important factor to watch.”

Hale noted that it’s crucial to remember that the right place to live is going to be different for everyone.

“Even though trends are pushing more and more home shoppers to consider the suburbs for the value, space and peace and quiet that they offer, some shoppers—accounting for 38% of recent home listing views—still prefer to live in urban areas,” she said.

Hale added, “Whether it’s a preference for being close to the office or enjoying the restaurants, nightlife and other culture that is found in urban areas, some will continue to opt for smaller space at home. For those who prefer the urban lifestyle, homes are still pricier on a per-square-foot basis, but the size of the premium is decreasing. In other words, it still costs more per square foot to live in the city, but the gap is shrinking.”

Full article on Forbes

Persistent Buyer Demand This Fall Is Keeping Supply Low in the U.S. Despite an Uptick in Listings

245 Beach St, Manzanita, OR 97130
Presented by Home + Sea Team | Offered at $2,150,000 | MLS# 21063451

From Mansion Global

New home listings in the U.S. have increased for the last two weeks, but buyers are snapping properties up almost as quickly.

New listings rose 1% annually in the week ending Nov. 13, according to a report Thursday from At the same time, homes spent an average of 10 days fewer on the market than they did in the same time period in 2020.

“Last week’s housing data suggests that strong demand continues to fuel home sales activity even as we near the end-of-year holidays, when we typically see fewer buyers and sellers,” George Ratiu, manager of economic research for, said in the report. “While new sellers are bringing more homes to market, marking an unseasonably solid start to November, inventory is still limited and homes are moving faster than in prior years.”

Indeed, active inventory is down 25% year over year, the data showed. The pace at which buyers are snapping up properties is keeping inventory low, even with the uptick in new listings. In addition, the median price of residence was up 8.7% year over year, a growth rate that remained steady for 13 of the past 15 weeks, the report found.

“With the economy growing and real estate prices remaining high, homeowners are ready to move forward with Covid-delayed plans to take advantage of the current market,” Mr. Ratiu continued. “If new sellers continue to enter the market as planned, we’ll likely see a brisk, but relatively healthy, pace of home sales activity in the tail end of 2021.”

About a quarter of 1,300 respondents to a survey said they planned to sell their home in the next year, up from 10% in the spring, according to the results of the survey, released last week.

Meanwhile, Redfin’s Homebuyer Demand Index hit a new record for the week ending Nov. 14, according to a separate report released Thursday by the property portal. The index was up 23% year over year, according to the data, which Redfin has tracked since 2017 and measures the number of tours and other requests made of Redfin agents.

“The economy is recovering strongly and mortgage rates are still near all-time lows. Those two forces combined have caused homebuying demand to hit a record high,” Daryl Fairweather, Redfin’s chief economist, said in the report.

Full article on Mansion Global

Homes Continue to Sell at Record Speeds

28820 SW Burkhalter Rd, Hillsboro, OR 97123
Presented by The LivPortland Team | Offered at $2,495,000 | MLS# 21293344

From REALTOR® Magazine

Home buyers are still snatching up homes at a quick pace. Homes sold more quickly in October than in any October in recent history, according to®’s Monthly Housing Report.

The typical home spent just 45 days on the market in October, reaching an eight-month streak of homes selling faster than in any month before 2021,® says.

“The year may be winding down, but 2021’s feverish pace of home sales continues to hit new records,” says Danielle Hale,®’s chief economist. “Despite returns to more typical pre-COVID seasonality which means a slower fall versus summer season, October housing data suggests that demand is still unseasonably high.”

Buyers are persisting in their housing search due to low mortgage rates and surging rental prices, Hale says. “Looking at the bigger picture of the pandemic, increased adoption of technology could be playing a key role in helping buyers move further along in the process virtually,” she continues. “With these ‘serious searchers’—some of whom have been planning to buy since before the pandemic—better prepared to jump on new listings quickly and keeping inventory tight, mismatched supply and demand will continue to challenge buyers eager to move on to the next phase of life.”

Home buyers must be ready to make quick decisions as competition remains high. Eighty-six percent of homes sold in less than a month in September, according to the National Association of REALTORS®.

The South is seeing some of the fastest sales. The five fastest-selling metros compared to last year are Miami (–31 days compared to last year); Raleigh, N.C. (–30 days); Jacksonville, Fla. (–17 days); Orlando, Fla. (–17 days); and Memphis, Tenn. (–16 days), according to®.

Table 2: October 2021 Housing Metrics – 50 Largest U.S. Metros

MetroMedian Listing PriceMedian Listing Price YoYActive Listing Count YoYNew Listing Count YoYMedian Days on MarketMedian Days on Market Y-YPrice Reduced SharePrice Reduced Share Y-Y
Atlanta-Sandy Springs-Roswell, Ga.$395,00011.1%-26.6%5.7%37-918.3%-4.2%
Austin-Round Rock, Texas$550,00032.5%-8.1%15.3%32-1418.5%5.0%
Baltimore-Columbia-Towson, Md.$325,000-4.4%-5.0%-2.7%40-320.6%4.1%
Birmingham-Hoover, Ala.$280,0007.7%-28.5%-5.3%48-315.2%-0.1%
Boston-Cambridge-Newton, Mass.-N.H.$689,0003.0%-23.4%-19.0%30-319.2%-1.3%
Buffalo-Cheektowaga-Niagara Falls, N.Y.$225,0004.7%-4.7%10.7%52017.3%-2.1%
Charlotte-Concord-Gastonia, N.C.-S.C.$399,0009.3%-27.9%-5.1%32-1118.0%0.1%
Chicago-Naperville-Elgin, Ill.-Ind.-Wis.$330,000-4.4%-20.3%-8.6%41-220.6%0.2%
Cincinnati, Ohio-Ky.-Ind.$310,0000.0%-11.3%-11.0%42319.7%2.1%
Cleveland-Elyria, Ohio$190,000-5.0%-4.7%0.9%44-324.3%-1.5%
Columbus, Ohio$290,000-5.0%-3.7%8.7%30-525.3%-3.4%
Dallas-Fort Worth-Arlington, Texas$398,00011.8%-33.9%-3.5%37-1021.8%-3.9%
Denver-Aurora-Lakewood, Colo.$615,00018.3%-27.8%-8.4%28-822.0%-1.2%
Detroit-Warren-Dearborn, Mich.$245,000-8.9%-7.2%1.0%32-619.6%2.1%
Hartford-West Hartford-East Hartford, Conn.$330,00010.0%-57.1%-30.2%40-113.0%5.3%
Houston-The Woodlands-Sugar Land, Texas$360,0007.9%-20.0%-1.6%45-719.6%0.8%
Indianapolis-Carmel-Anderson, Ind.$275,0000.0%-24.9%5.1%38-530.5%-7.1%
Jacksonville, Fla.$370,00016.3%-27.8%10.3%38-1718.5%3.2%
Kansas City, Mo.-Kan.$325,000-1.5%-6.1%-11.3%46-120.2%-0.6%
Las Vegas-Henderson-Paradise, Nev.$439,00027.2%-31.5%-6.1%31-1019.2%-2.8%
Los Angeles-Long Beach-Anaheim, Calif.$975,000-2.0%-25.3%-17.9%49013.3%-2.5%
Louisville/Jefferson County, Ky.-Ind.$250,000-3.1%-3.7%3.6%31-424.2%-1.2%
Memphis, Tenn.-Miss.-Ark.$275,0004.3%-10.2%14.8%29-1617.9%-2.9%
Miami-Fort Lauderdale-West Palm Beach, Fla.$475,00015.9%-47.9%-16.7%62-3113.2%-2.0%
Milwaukee-Waukesha-West Allis, Wis.$275,000-8.3%-6.3%2.0%39-322.0%5.8%
Minneapolis-St. Paul-Bloomington, Minn.-Wis.$350,0000.6%-10.5%-14.9%36-117.8%2.8%
Nashville-Davidson–Murfreesboro–Franklin, Tenn.$450,00012.5%-37.1%-9.8%22-1017.4%-1.7%
New Orleans-Metairie, La.$340,0003.3%-16.4%-13.3%751120.1%-3.0%
New York-Newark-Jersey City, N.Y.-N.J.-Pa.$619,000-3.1%-14.9%-18.4%63514.2%-2.3%
Oklahoma City, Okla.$271,0000.4%-21.5%-2.7%44-422.0%-3.8%
Orlando-Kissimmee-Sanford, Fla.$390,00020.0%-46.5%-9.4%42-1722.8%-5.2%
Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md.$320,000-8.3%-1.7%-0.5%49120.9%3.0%
Phoenix-Mesa-Scottsdale, Ariz.$485,00016.7%-16.3%0.1%32-423.4%-4.2%
Pittsburgh, Pa.$226,000-7.9%-10.4%1.7%50-723.4%3.3%
Portland-Vancouver-Hillsboro, Ore.-Wash.$550,0007.8%-13.9%8.0%37-1230.7%0.5%
Providence-Warwick, R.I.-Mass.$430,0007.5%-12.7%0.2%35-713.1%2.2%
Raleigh, N.C.$425,0009.0%-50.7%-15.8%19-3014.9%-3.0%
Richmond, Va.$350,000-1.9%-21.6%-3.2%43-214.2%2.0%
Riverside-San Bernardino-Ontario, Calif.$549,00016.8%-6.3%-4.1%36-512.1%2.3%
Rochester, N.Y.$211,000-7.7%-28.5%-11.9%23-814.5%-1.4%
Sacramento–Roseville–Arden-Arcade, Calif.$595,0008.4%-1.6%-2.5%32-315.4%3.1%
San Antonio-New Braunfels, Texas$349,00016.4%-24.4%0.3%44-920.7%0.7%
San Diego-Carlsbad, Calif.$839,0005.6%-26.6%-21.8%47N/A13.5%-2.2%
San Francisco-Oakland-Hayward, Calif.$995,000-5.1%-25.2%-9.4%31-413.7%-2.8%
San Jose-Sunnyvale-Santa Clara, Calif.$1,250,0004.3%-31.9%-13.7%34013.6%-4.4%
Seattle-Tacoma-Bellevue, Wash.$680,0008.8%-43.3%-12.2%34-116.9%-3.8%
St. Louis, Mo.-Ill.$243,000-2.0%-19.3%1.0%50-620.5%-2.4%
Tampa-St. Petersburg-Clearwater, Fla.$375,00021.8%-39.9%-12.5%37-1122.8%-2.9%
Virginia Beach-Norfolk-Newport News, Va.-N.C.$314,000-3.4%-17.9%-2.7%30-910.6%4.4%
Washington-Arlington-Alexandria, DC-Va.-Md.-W. Va.$510,0001.6%8.3%-0.9%35-116.9%4.4%

Full article on REALTOR® Magazine

Sellers Have Incredible Leverage in Today’s Market

13439 Triflorium GM307, Black Butte Ranch, OR 97759
Presented by The Arends Realty Group | Offered at $2,200,000 | MLS# 220128829

From Keeping Current Matters

With mortgage rates climbing above 3% for the first time in months, serious buyers are more motivated than ever to find a home before the end of the year. Lawrence Yun, Chief Economist for the National Association of Realtors (NAR), puts it best, saying: “Housing demand remains strong as buyers likely want to secure a home before mortgage rates increase even further next year.”

But the sense of urgency they feel is complicated by the lack of homes for sale in today’s market. According to the latest Existing Home Sales Report from NAR: “From one year ago, the inventory of unsold homes decreased 13%. . . .”

What Does This Mean for Sellers Today?

With buyers eager to purchase but so few homes available, sellers who list their houses this fall have a tremendous advantage – also known as leverage – when negotiating with buyers. That’s because, in today’s market, buyers want three things:

  • To be the winning bid on their dream home.
  • To buy before rates rise
  • To buy before prices go even higher.

Your Leverage Can Help You Negotiate Your Best Terms

These three buyer needs to give homeowners a leg up when selling their house. You might already realize this leverage enables you to sell at a good price, but it also means you can negotiate the best terms to suit your needs.

And since buyer demand is still high, there’s a good chance you’ll get offers from multiple buyers who are willing to compete for your house. When you do, look closely at the terms of each offer to find out which one has the best perks for you.

If you have questions about what’s best for your situation, your trusted real estate advisor can help. They have the expertise and are skilled negotiators in all stages of the sales process.

Full article on Keeping Current Matters