U.S. Home Prices Surge 7% Higher in 4-Week Period Ending on March 13, 2022

Redfin, the Seattle-based, technology-powered real estate brokerage, in a new report released on Thursday (3-17-22) said that the U.S. median home sale price surged 7% during the four-week period ending Sunday, March 13, 2022. That is the largest month-over-month increase on record in Redfin’s data, which goes back through 2017.

The report notes that with mortgage rates also soaring, the typical homebuyer’s monthly payment reached a new high of $2,123. That’s more than $530 more than the typical pre-pandemic homebuyer is paying. Pending sales climbed 3% year-over-year, despite new listings contracting at the same rate.

The report also points out that, in the same 4-week time period, the median home sale price was up 17% year-over-year to a record high of $376,350 and was up 36% from the same time in 2020. The median asking price of newly listed homes increased 14% year-over-year to an all-time high of $396,700 and rose 28% from the same time in 2020.

In a statement prepared for the release of the report, Daryl Fairweather, Redfin’s Chief Economist said:

“There are plenty of reasons to be worried about the economy, but demand for housing has so far remained strong. Consumers continue to spend on housing even though gas prices are on the rise and supply-chain interruptions may lead to even more inflation. Homebuyers are betting that even as the economy twists and turns, owning a home will be a worthwhile investment. As mortgage rates continue to shoot up from historic lows at an unprecedented pace, they could prove to be the one force that can slow homebuying demand in the spring.”