Buyer Demand Keeps Home Prices Climbing

There are a lot of Americans looking to buy a home this year. In fact, there are far more home buyers active in the market than there are available homes for sale. Buyer demand, of course, puts upward pressure on home prices. The latest S&P Case-Shiller Home Price Indices shows just how much. According to the data, which covers the 12 months through the end of April, home prices are up 14.6 percent from last year at the same time.

Buyer Demand Driving Home Prices

Craig J. Lazzara, managing director and global head of index investment strategy at S&P, says the increases are driven, in part, by demand created by the pandemic. “We have previously suggested that the strength in the U.S. housing market is being driven in part by reaction to the COVID pandemic, as potential buyers move from urban apartments to suburban homes,” Lazzara said. “April’s data continues to be consistent with this hypothesis.” In other words, the pandemic not only caused some of last year’s buyers to wait until this year, it also pushed more of them to look in the same neighborhoods, causing prices to spike in those markets. Follow the link for more information.

A1 Mortgage

Here at A1 Mortgage, we know how important it is to choose the right house for you and your companion. We have the responsibility to provide you with the best products and the highest level of customer service possible. With hundreds of loan programs available, we tailor a loan specific to your mortgage needs. So come get pre-approved and start shopping for your dream home by clicking here!

Share This Story, Choose Your Platform!
Share on facebook
Share on twitter
Share on linkedin
Share on whatsapp
Share on pinterest
Share on email