Home prices rose 8.8% in December on a year-over-year basis, as the dearth of available homes forced prices up, according to Redfin.
Typically home price growth slows down in December but the lack of supply changed the equation, Redfin said. The 3 month supply of homes was down from 4.1 months in November and down from 6 months in an average market.
The number of homes for sale dropped 5.4% from a year ago, but sales rose 7.7% in the same period.
About 2.2 million homes were sold in December in the 68 markets that Redfin tracks.
