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The rapid rise in Jacksonville property prices is expected to accelerate in 2021.
From 2019 to 2020, the median home price in the Jacksonville metropolitan area rose 4.8%. According to Zillow data compiled by Construction Coverage, the median home price is expected to rise another 6.8% over the next 12 months.
Despite the recession sparked by COVID-19, the Joint Center for Housing Studies at Harvard University found that low interest rates boosted home purchases while housing supply was lower than normal as many potential sellers were reluctant to move during the pandemic.
There are fewer homes for sale in the US today than ever before in data dating back nearly 40 years, according to NPR.
According to the National Association of Realtors, which tracks home sales, the average price for previously owned homes hit a new record at $ 313,000, up 16% year over year.
“We’re just facing a housing shortage, a major housing shortage. We need to build more houses. Supply is critical in the current environment,” said Lawrence Yun, chief economist with the National Association of Realtors, in an interview with NPR.
Construction Coverage, an industry review and research website, reports that younger adults, including millennials, were responsible for much of the spike in national home sales prices in 2020, with millennials making up the largest proportion of home buyers at 38%.
At the same time, Zillow, an online real estate listing company, notes that the disparities between races’ owners in home values are shrinking, but still large.
Zillow spokesman Tyron Law said in an email to WJCT News that Zillow had been researching the differences in home values in the Jacksonville metropolitan area between various minority groups:
- The typical black-owned home is valued at $ 193,905, a 21.3% decrease from all homes in the area.
- Average Latinx-owned property prices are $ 244,903, 0.6% below all properties in the area.
- Average property prices in Asian ownership are 0.3% below all properties in the region.
- The average price for non-Hispanic white homes is 4.0% above the typical home price.
- The typical Jacksonville home value is $ 246,484, Law said.
Bill Bortzfield can be reached at [email protected] or on Twitter at @BortzInJax.