The real estate market in the United States has seen some of the strongest increases in price and number of sales since 2008, according to data released by the Association of Realtors.
The association reports that the median sale price in February was $1.35 million, the highest since January 2007.
And the average price of a single-family home sold in February hit $2.24 million, its highest since November 2010.
Realtor numbers from the Association’s National Association of REALTORS (NAIR) show a jump in median sale prices for homes in the Denver metro area, including the area surrounding the University of Colorado, as well as the city of Denver, where the median price of single- and multi-family homes has climbed more than 70 percent.
But it’s not just Denver where sales are rising.
The average sale price of homes in San Diego County, California, is now $1 million higher than the same month a year ago.
And in Atlanta, sales in the metro area have grown more than 30 percent from the same period last year.
A majority of these sales were for homes for sale in metro areas with the highest home prices, such as Las Vegas and Atlanta.
While there are some exceptions, such a spike is common.
“The median sale for single-home homes is up nearly 50 percent from last year and median sale value is up more than 60 percent,” said Michael Cone, chief economist for NAIR, in a press release.
“A majority of sales for single homes are for homes that are selling for over $2 million, but many of these homes are being sold for less than that.”
What’s behind this dramatic growth in sales?
The most likely explanation is that buyers have gotten a little more aggressive about bidding.
“It’s a sign of the confidence that people have in the economy, and we see a lot of the positive signs coming out of the job market,” said Cone.
In recent months, home prices have continued to surge, but not as fast as previous years.
In February, the median selling price for single family homes was $2,000, up 30 percent since 2015, while the median sales price for condos and townhouses was up nearly 10 percent.
“For condos, we’ve seen a jump over the past year or so, but we’re seeing some modest growth in the condos,” Cone said.
While the majority of new home sales in February were for condos, Cone believes the number of homes being sold in townhouses and townhomes is the bigger factor.
“There’s a lot more condo growth than townhoms,” Cide said.
“Townhomes have been growing for a while now.
I think that’s really the only reason for the uptick in condo sales, which I think is more of a reflection of the condo market.”
Some of the biggest winners in the housing market include the middle class and the poor.
The median sale of single family houses in 2016 was $800,000.
The price of the median condo was $824,000 in 2016.
The increase in median sales prices for single and multi family homes also helped the wealthiest Americans in America.
In 2016, the top 10 percent of the income distribution made up almost 20 percent of all home sales.
In 2017, the share of the top 1 percent of Americans owning homes has decreased to just over 14 percent.
In the years since the recession, this share of home ownership has increased from 6.3 percent to 10.6 percent.
The other major winner in the market in 2017 was the middle and lower classes.
In 2018, the middle-income households made up nearly 17 percent of home sales, up from 14.5 percent in 2017.
The middle-class households are also responsible for the bulk of home buying in the lower income brackets.
The percentage of homes for sales for the lower-income classes fell from 7.2 percent in 2018 to 6.6 in 2019.
But this increase was mainly due to the large number of single homes being priced above the median for the income brackets, which rose from 4.5 million to 6 million.
The number of new homes sold in the middle, lower, and higher income brackets has also increased over the last year, but the percentage of middle- and lower-class home buyers has declined from 17.7 percent to 15.9 percent.