Central Ohio Housing Activity Remains Strong
After a record year for home sales in 2020, central Ohio housing activity continued its frenzied pace coming into 2021. There were 1,926 home sales in January, up 10.4 percent from last year (1,745). Although homes in contract were 4.8 percent lower than January 2020, those 2,573 homes should close in the next 30-60 days pushing sales higher as we move into the spring months.
The number of homes added to the market last month was up 19.8 percent from December 2020. Although down 9.1 from last year, this number is in keeping with the number of new listings seen in January for the last few years according to the Columbus REALTORS® Multiple Listing Service.
“It’s common knowledge that we don’t have enough homes for sale to meet the demand. But it’s not because we have fewer homeowners listing their homes,” said Michael Jones, 2021 President of Columbus REALTORS®. “The number of new listings has remained relatively unchanged for the last decade. However, the demand has increased by more than half. Ten years ago, we were selling just under half of the new inventory. In 2020, we were selling 93 percent! More and more people want to live in central Ohio!”
As a result, homes continue to sell quickly, an average of 25 days in January 2021. Homes under $350,000 sold in an average of 20 days. Homes sold between $350,000 and $500,000 took about 36 days to sell. Homes sold between $500,000 and $700,000 sold in an average of 48 days and homes over $700,000 took an average of 79 days to sell. Higher end home sales, which normally slow after a recession showed great resilience in 2020.
Homes sold between $350,000 and $500,000 accounted for 14 percent of the sales in 2020, up just over 23% from last year.
5% of all homes sold in 2020 sold for $500,000 to $700,000, an increase of 28.2%.
And homes over $700,000, roughly two percent of the total homes sold this year, are showing an increase in market share of 25 percent.
Listings under $350,000, which made up almost 80% of the sales in 2020, were down 5 percent from last year.
“I think it’s safe to say that we had far more homes available in those higher price segments, which accounts for the rise in sales,” added Jones. “However, the availability of homes affordable to most, is simply in very short supply."
After the first month of 2021, central Ohio was showing a 0.6 months of supply. This means that, if no more inventory were added to the market, it would just over a couple weeks to sell all listed homes based on the current sales pace.