July 2023 Kansas City Housing Market Update

Temperatures are heating up, yet the U.S. housing market remains cooler than
usual for this time of year due to a combination of low inventory and higher
borrowing costs, which have restricted market activity going into the summer
home-buying season. According to the latest data from the National
Association of REALTORS® (NAR), national existing-home sales climbed
0.2% from the previous month but were down 20.4% compared to the same
time last year, as fluctuating mortgage rates and a near all-time low level of
inventory continue to influence home sales.

Closed Sales decreased 17.1 percent for existing homes but increased 1.1
percent for new homes. Pending Sales decreased 13.7 percent for existing
homes but increased 88.1 percent for new homes. Inventory decreased 22.6
percent for existing homes but increased 18.1 percent for new homes.

The Median Sales Price was dead even with last year for existing homes but
increased by 4.3% for new homes. Days on Market increased 50.0 percent for
existing homes and 130.6 percent for new homes. Supply decreased 7.7
percent for existing homes but increased 34.9 percent for new homes.

Nationwide, total housing inventory increased 3.8% from the previous month,
for a 3-month’s supply at the current sales pace. The shortage of homes for
sale has kept prices high for remaining buyers, with a national median sales
price of $396,100 as of last measure, a 3.1% decline from the same time last
year and the largest annual decrease since December 2011, according to
NAR. As demand continues to outpace supply, properties are selling quickly,
with the majority of homes listed for sale on the market for less than a month.

*Information and stats courtesy of KCRAR and Heartland MLS.