Real estate markets have seen a steady increase in home sale prices since the COVID-19 pandemic hit the U.S., staying strong despite increasing job layoffs and stagnant wages due to low employment numbers.
According to Redfin, in June 2021, home prices across the U.S. surged 24.8% year-over-year — to a median sale price of $386,888. During the same period, the number of homes sold increased 20.6%, and the number of homes for sale tumbled 39.6%. Real estate representatives are confident that this trend — paired with the slow-paced response from large companies — will mean an uptick rather than downturn for property prices until 2022. Developing countries with a high poverty rate have seen a massive influx of people moving into already overcrowded cities, putting more pressure on the economy to produce jobs to support these poorer citizens. Real estate representatives are confident that this trend — paired with the slow-paced response from large companies — will mean an uptick rather than downturn for property prices until 2022.
With the increasing popularity of home-sharing through apps, such as Airbnb and FlipKey, the demand for real estate will decrease over time. Developing countries with a high poverty rate have seen a massive influx of people moving into already overcrowded cities, putting more pressure on the economy to produce jobs to support these poorer citizens. Real estate representatives are confident that this trend — paired with the slow-paced response from large companies — will mean an uptick rather than downturn for property prices until 2022.
