How did the US housing market fare in 2021?

The US housing market in 2021 experienced a surge in demand and prices as the COVID-19 pandemic continued to reshape the way Americans live and work. The pandemic drove many people to reassess their living arrangements, leading to increased demand for larger homes, more outdoor space, and homes in suburban areas.

Low mortgage rates and a shortage of inventory also contributed to the high demand for housing. Many Americans took advantage of historically low interest rates to purchase homes or refinance their mortgages.

The high demand for homes resulted in a surge in home prices across the country. According to the National Association of Realtors, the median existing-home price for all housing types in February 2021 was $313,000, up 15.8% from February 2020. However, the rise in home prices may not be sustainable in the long term, as more homes are expected to hit the market as the pandemic subsides and the economy recovers.