August 2021
The booming U.S. housing market has spilled over to the rental market, which has
seen demand for apartment and single-family rentals skyrocket this year, as high
sales prices and an inadequate supply of available housing have forced many
prospective buyers to rent for the foreseeable future. Increased demand for housing,
along with an improving economy, has competition for rental units soaring, and
landlords are taking note, with the national median rent increasing 11.4% in 2021 so
far, according to Apartment List.
New Listings were up 14.2 percent to 1,657. Pending Sales increased 13.8 percent
to 1,617. Inventory shrank 24.8 percent to 1,395 units.
Prices moved higher as Median Sales Price was up 11.7 percent to $230,000. Days
on Market decreased 60.9 percent to 18 days. Months Supply of Inventory was
down 33.3 percent to 1.0 months, indicating that demand increased relative to
supply.
In new construction, home builders continue to struggle to meet buyer demand, as
housing starts nationwide dropped 7% last month, according to the Commerce
Department. Single-family home construction declined 4.5%, and multi-family home
construction, which includes condos and apartment buildings, was also down,
falling by 13%. Labor shortages, rising material costs, and supply-chain setbacks
continue to challenge builders, with some projects temporarily paused due to
availability and cost of materials.
Information courtesy of CMLS*
