Housing market approaching equilibrium: HouseCanary

The nation's housing market is settling into a "more sustainable equilibrium," according to real estate analytics firm HouseCanary. 

More homes nationwide went under contract in April compared to the same time last year, while the median closing price was up over 5% in the same timeframe, the firm reported this month. Inventory growth, while cooling, is returning to average historical levels. 

"As the U.S. housing market moves toward summer," the report read, "supply improvements, steady buyer activity, and balanced pricing trends continue to contribute to a more sustainable market environment."

The findings did not discuss the impact, or swing, of interest rates which have fluctuated in recent months. Today's average 30-year fixed-rate mortgage is down notably from last spring, although macroeconomic factors halted a prior skid to under 6%. 

Consumers took 334,021 single-family properties under contract in April, a 2.9% annual increase, HouseCanary reported. While new listing volume was down 7% from last year, "removals" of properties from the market were up 28.7%. The company, which maintains a brokerage in every state, said the 2,853,966 net new listings in the past 52 weeks was down 3.9% from the previous stretch. 

Inside the numbers

Housing inventory grew 2.4% on an annual basis in April, and remains up 22% compared to April 2024. The 5.10 months of inventory represents a "neutral" market teetering toward buyer-friendly territory, according to HouseCanary.

The median days on market for U.S. homes is 41 days, near the same amount of time they lingered last April. 

Homeowners are listing more conservative prices, at a median price of $457,891, down 2% annually. They're however gaining a little more money at the closing table, with the median close price ticking up from last spring to $441,247. On a monthly basis, both of those numbers rose slightly. 

The trends are similar in the condominium market, where inventory rose 1.5% in the past year, but a greater 25% since April 2024. The 68,952 condos that went under contract in April was a 1.3% decline from the prior spring. 

Net new condo listings were down significantly, as new listings fell by 9.5% in the past 12 months alongside a 20% uptick in removals. Their prices are also stagnant, as the median close price for condos was just about flat on a year-to-year basis at $395,023.

Both single-family and condo sellers are also cutting prices at lower rates, at 6.1% and 12.7%, respectively, compared to last year's thawing market. 

Consumers opting for rentals meanwhile are seeing some green shoots. Although inventory has contracted by double-digits in the past 12 months, the median listed rent fell from last April to $2,447 last month, as landlords are pricing competitively, HouseCanary said.