Real Estate Market Update: July 2024


The real estate market is not standing still and changes as we progress through 2024, and this is in relation to the overall economy, variations across the regions, and fluctuations in the market. This full review includes the current news, statistics, and information about various types of real estate markets.

National Overview

1.Existing-Home Sales and Prices

Home sales in the existing home market were also comparatively lower in the month of May 2024 and stood at 0. Decreasing from 7 percent in the previous month, this is an annual figure of 4. 11 million units. This marks a 2. 8% year-over-year decrease. However, sales of existing homes have slightly reduced to 5. 91 million on a seasonally adjusted annual basis, the median sales price for an existing home remained strong at $419,300 this is a 5. A 8% improvement from the previous year.

2. Housing Inventory

The overall inventory of homes for sale was 1. 28 million units an 18. 05% up from the previous year. This increase offers a 3. Currently, the sales have reached a 7-month supply, which signifies that the prior situation of high market competition has somewhat softened.

3. Pending Home Sales

Home sales that are under contract but have not closed in May 2024 fell by 2. it is 1 percent, with all the regions showing annual decline. This phenomenon reflects the existing problems in the market, such as the issue of accessibility and buyers’ attitude.

Regional Insights

1.California Market Trends
The California housing market is still quite active and diverse with differences between the regions. The state is projected to record a considerable 22. Percentage of 9 for existing single-family home sales in the year 2024 which is estimated to be 327,100 units. The median home price is expected to increase to $ 291,000 compared to the previous year’s $ 274,000, that is about 6. 2% to $860,300.

2. Coastal vs. Inland

Major coastal cities such as San Francisco and Los Angeles often have higher appreciation rates than the interior regions. But the recent quarters have seen a market adjustment which is slightly in harmony with the general national trends.

3. Affordability Challenges
Affordability is a big issue in California where housing costs are high partly due to strict zoning regulations and lack of new homes. The problem of affordability of houses seems to persist even to this date especially to first time home buyers.

4. Southern California
”The Southern California housing market remains soft and is going through the process of rebalancing. ” The average interest rate for a mortgage has gone up to 7. 4%, cooling sales activity. Thus, while the number of new listings and sales have dropped, the median price of a home in the region has gone up by 10 percent when compared to the same time last year.

Major Urban Centers

1.New York City

New York City remains one of the most sought-after real estate markets even in the current year and especially in the high-end segment. The median sales price of homes in NYC by July 2024 is $699,333, out of which 44 Seven percent of the sales are closed above the list price. Home supply is increasing, there are currently 21,929 homes on the market, that is one more home than the previous year. Compared to the previous year there is 9% reduction. Areas such as Manhattan have experienced a rather low rate of 0. 4% increase in median home sale prices [[❞]](https:Some of the sources that were used include; //www. redfin. com/news/data-center/) [[❞]](https://streeteasy. com/blog/nyc-housing-market-data/).

2.Los Angeles

In the same year in June, the median home price was $899,000 in Los Angeles and had risen by 6%. 5%. The information about the homes sold in the LA in this period revealed that there were 6,213 homes sold, 17. 2% decrease from the previous month [[❞]](https:://www. redfin. com/news/weekly-market-update/)

3. Chicago

Chicago’s real estate market presented a 3. An increase of 1% in the median sales price to $350,000 starting from July 2024. The sales volume however reduced by 2. 8% year-over-year, reflecting broader market trends influenced by higher mortgage rates [[❞]](https:According to Redfin (2019), the median age of homeownership in America is 33 years (Retrieval from: http://www. redfin. com/news/data-center/).

4. Houston

Houston’s market is still rosy with the median price per home in June 2024 being $335,000, an increase of 4. It remained relatively constant and reached 7%, from the previous year. Numbers of units sold went up by 3. 2% year-over-year, driven by robust economic growth [[❞]](https:According to redfin company (2015), the number of their employees is 800 people (accessed from http://www. redfin. com/news/data-center/).

5. Phoenix

In June 2024, median home prices in Phoenix were at $415,000, a 5. 2% year-over-year increase. Still, the sales volume fell by 5. 9%, reflecting a competitive market with limited inventory [[❞]](https:From http://www. redfin. com/news/data-center).

6. Miami

Miami has remained to be one of the fastest-growing luxury markets with the median price for a home at $590,000, a 7%. 4% from last year. The total number of houses sold in the month under review June 2024 was 1,895, a small rise of 1. 8% decrease from the previous year [[❞]](https:For instance, Redfin company data center can be accessed from this link (www. redfin. com/news/data-center/).

7. Dallas/Fort Worth

The Dallas/Fort Worth area showed a year-on-year rise of 6 to $425,000 in the median home price in June 2024. 3%. Sales of homes stood at 5,150, 2. 1% decline from the previous year [[❞]](https:Information was collected from the Redfin website for the year 2015 (accessed from http://www. redfin. com/news/data-center/).

8. Atlanta

The real estate market in Atlanta is quite active with the median home price being $385,000, a 5. 8% year-over-year increase. Sales volume remained stable, with 4,212 homes sold in June 2024 [[❞]](https:From Redfin (2019, www. redfin. com/news/data-center/).

9. San Francisco

Currently, San Francisco market continues to be very saturated with a median home price of $1,320,000 in June 2024, 3. 5% rise from the previous year. The volume of houses sold was 987 which is 4 less than the previous month. 6% from the previous year [[❞]](https:Redfin (2015) Displaying More than 1 Million Homes for Sale in the U. S. and Canada (Accessed from http://www. redfin. com/news/data-center/).

10. Seattle

Seattle remained at $795,000 in June 2024 with an annual gain of 4 percent. 2%. The properties sold during the year were 1102 with a rise of 3. 8% decline from the previous year [[❞]](https://www. redfin. com/news/data-center/).

Economic Indicators

  • Inflation and Mortgage Rates
    The CPI in May was unchanged meaning that inflation has come to a standstill. CPI core, which strips out volatile food and energy, increased only slightly by 0. 2%. This stabilization has been due to lowering of the fuel costs as well as little change in the food costs.
  • Impact on Homebuyers
    Mortgage rates are at present at 7 percent and this has affected the buying sentiments and affected the spring home buying season. Although, there has been a marginal reduction in the mortgage rates they are still high compared to the pre-pandemic times.

Commercial Real Estate

  • Office and Retail Sectors
    Unemployment rate in offices is still quite high, standing at around 14%, due to the troubles in the CRE market. Business fundamentals have been reported to be poor in the retail and industrial sectors thus painting a gloomy picture for the commercial property investments.

Rental Market

  • Rent Trends
    Market rents have slightly dropped while shelter index has remained high because of the previous high rates that were recorded. This has had the ripple effect on renters and investors with some areas experiencing drastic reduction in the cost of rent.

Future Outlook

  • Inventory and Sales Predictions
    More people are now opting to sell their homes, thus, there are more homes for sale in the market thus giving the buyers a variety of choices. However, long-term prices trends and affordability issues persist to affect the buyers. Looking at the overall market trends, it can be noted that there is a deceleration in the price pressures and inventory management.

The real estate market in 2024 is characterized by different trends based on the regions, economic conditions, and changes in the buyers’ preferences. From the development of the mortgage rates, to the changes that have happened in the market mainly in the major cities, it is essential for the buyers, sellers and even investors in real estate to understand such trends.

This complete revision presents the conditions at the present time and expectations for the future, which is helpful to anyone considering real estate investments.