From NAR
The real estate market in 1995? Think lower prices, higher interest rates, and plenty of first-time buyers. Fast forward to today, and it's a whole different ballgame.
Key Changes:
- Inventory: 1995 had 1.58M single-family homes for sale (4.8-month supply); in 2024, only 1M homes (3.7-month supply).
- Home Prices: Median sales price was $114.6K in 1995 ($241K adjusted for inflation) vs. $407.5K in 2024.
- Mortgage Rates: 7.93% in 1995 vs. 6.72% in 2024.
- First-Time Buyers: 42% in 1995 (median age 31) vs. 24% in 2024 (median age 38).
What It Means for REALTORS®:
- Low Inventory: More networking and sourcing strategies are key.
- Affordability Challenges: Helping buyers navigate financing is more important than ever.
- Shifting Buyer Demographics: Older first-time buyers may need different support.
Understanding these shifts helps you better serve clients in today’s market.
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