I hope your 2021 is off to a great start. Today I wanted to reach out to share the year-end numbers for the 2020 real estate market to give you a better idea of where we are at in 2021.
We currently have about 1,350 active listings. It might not mean much to you, but it’s exactly 51% fewer homes than we had one year ago. These are the lowest inventory levels I’ve seen since I started tracking these numbers in 1982. We also had 19,700 closings, which was up about 4% from the previous year.
We have less than a one-month supply right now. The NAR says that a six-month supply is a balanced market. Record low inventory and high demand mean homes are selling almost as soon as they hit the market. December closed sales were up 26% from December 2019. So despite this low inventory, we’re still closing home sales at a brisk pace.
Now I’d like to discuss housing affordability. The median home in 2006 had a mortgage payment of just under $1,300. Today the median payment for a home (which is priced much higher than it was back then) is just over $1,000. As you see, these low rates help your money go further and you get more house for the same amount of money.
Finally, a couple of stats on Long Realty Company if you’re considering hiring one of our agents: We have a 26% market share in Tucson, so one in every four transactions is a Long transaction. In the luxury space, our market share jumps to 48%. As fast as homes are moving right now, you need a team that has the tools to help you sell for top dollar as soon as you hit the market. We do that with our “coming soon” program that helps both our buyers get a jumpstart on the market and our sellers create demand for their homes before they’re even listed.
It’s certainly a great time to sell in the Tucson market, no debate about it. At the same time, these low rates make it a great time to buy and lock in a low monthly payment for the life of your loan.
If you have any questions for me, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.