San Antonio Area Home Buyer Demand Surged in May

There was strong home demand for homes from San Antonio area homebuyers in May, leading to a significant increase in the number of homes sold

A total of 3,669 single family homes sold, a twenty 27% increase in the number of homes sold over May 2020, as reported by the San Antonio Board of REALTORS Multiple Listing Service Report. The average price of a home sold in the San Antonio area increased to $341,853, a 23% increase over May 2020. The median price homes sold for increased to $282,400, a 17% increase over the May 2020 median price.

Average price per square foot of homes that sold was $157 per square foot, which is 21% higher than in May 2020.

Condominium and townhome sales saw a dramatic increase in sales activity in May, with 112 units sold, which is a 173% increase over 41 units that sold in May 2020. The average price of condos and townhomes increased by 24% over May 2020 to $246,416.

The month of May ended with 4,403 listings on the market including 4,148 new listings. The month ended with 3,504 sales pending.

Single family homes stayed on the market for an average of only 33 days in May compared to an average of 63 days in May 2020, so homes sold 48% faster than one year ago. Homes that are ready to move in to, attractively presented and priced right are selling quickly in this market.

We are in a strong seller’s market in San Antonio right now with only 1.3 months of inventory available in May, which is up slightly from the 1.2 months that was available in April.

High buyer demand paired with very few houses for sale makes this the optimal time to sell for those who are ready to do so. Danielle Hale, Chief Economist at realtor.com, explains:

“For most sellers listing sooner rather than later could really pay off with less competition from other sellers and potentially a higher sales price… They’ll also avoid some big unknowns lurking later in the year, namely another possible surge in COVID cases, rising interest rates and the potential for more sellers to enter the market.”

Danielle Hale, Chief Economist at realtor.com,

While demand for single family homes is strong, rural residential lots and acreage have continued to see increased interest and sales since the start of the COVID-19 pandemic. May 2021 saw a 77% increase in the number of lots and acreage properties sold compared to May 2020, with 435 lots sold. The average price of lots increased by twenty seven percent 27% compared to one year ago. Lots and acreage spent an average of 167 days on the market in May 2020, which is 13% longer than the average of 148 days in May 2020.

Rural Farms and Ranches continued to see increased sales activity with 44 farms and ranches sold in May which is 63% more sales compared to the 27 that sold in May 2020. The average price of rural farm and ranch properties that sold was $1,173,831 which was 74% higher than the average price of farm and ranch properties that sold in May 2020.

If you are looking to sell a home or buy a home in the San Antonio area, or have questions about the current real estate market I am just a text, email, or phone call away!

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Don’t Wait To Sell Your House

We’re in the ultimate sellers’ market right now. If you’re a homeowner thinking about selling, you have a huge advantage in today’s housing market.

Thinking About Selling Your Home? You Have a Huge Advantage in Today’s Housing Market

High buyer demand paired with very few houses for sale makes this the optimal time to sell for those who are ready to do so. Whatever the move you want to make looks like, here’s an overview of what’s creating the prime opportunity to sell this summer.

High Buyer Demand

Demand is strong, and buyers are actively searching for homes to purchase. In the Realtors Confidence Index Survey published monthly by the National Association of Realtors (NAR), buyer traffic is considered “very strong” in almost every state. Homebuyers aren’t just great in number right now – they’re also determined to find their dream home. NAR shows the average home for sale today receives five offers from hopeful buyers. These increasingly frequent bidding wars can drive up the price of your house, which is why high demand from competitive homebuyers is such a win for this summer’s sellers.

Low Inventory of Houses for Sale

Purchaser demand is so high, the market is running out of available homes for sale. Danielle Hale, Chief Economist at realtor.com, explains:

“For most sellers listing sooner rather than later could really pay off with less competition from other sellers and potentially a higher sales price… They’ll also avoid some big unknowns lurking later in the year, namely another possible surge in COVID cases, rising interest rates and the potential for more sellers to enter the market.”

NAR also reveals that unsold inventory sits at a 2.4-months’ supply at the current sales pace. This is far lower than the historical norm of a 6.0-months’ supply. Homes are essentially selling as fast as they’re hitting the market. Below is a graph of the existing inventory of single-family homes for sale:At the same time, homebuilders are increasing construction this year, but they can’t keep up with the growing demand. While reporting on the inventory of newly constructed homes, the U.S. Census Bureau notes:

“The seasonally‐adjusted estimate of new houses for sale at the end of April was 316,000. This represents a supply of 4.4 months at the current sales rate.”

What Does This Mean for You? 

If you’re thinking of putting your house on the market, don’t wait. A seller will always negotiate the best deal when demand is high and supply is low. That’s exactly what’s happening in the real estate market today.

Bottom Line

As vaccine rollouts progress and we continue to see the economy recover, more houses will come to the market. Don’t wait for the competition in your neighborhood to increase. If you’re ready to make a move, now is the time to sell. Let’s connect today to get your house listed at this optimal moment in time.