The November 2024 housing market has seen extraordinary growth across various regions, demonstrating notable recovery and increasing consumer confidence. From the Netherlands to cities across the United States, both home sales and prices have risen significantly, creating optimism as the year draws to a close.
According to the Central Bureau of Statistics (CBS) and the Land Registry Office (Kadaster), the average price of existing homes in the Netherlands reached 461,931 euros, marking the largest year-on-year increase of 11.9 percent since November 2022. Month-over-month prices rose by 0.9 percent, and the total number of housing transactions reached 17,973—a significant 17.9 percent increase compared to the same month last year. This surge offers clear signs of recovery following several challenging years when the market faced stagnation and decline.
The rising housing prices are also attributed to a rebound since June 2023, proving steady momentum as the home selling season wrapped up. CBS reported the price index for existing homes increased to 144.1 (base year 2020), reaffirming confidence within the market. Earlier fluctuations saw annual declines, including as much as 4.7 percent by April 2023, yet November 2024 not only marked the end of this downturn but also represented the strongest market performance observed over two years.
Across the Atlantic, the U.S. housing market followed suit, showing promising trends as well. According to the National Association of Realtors (NAR), sales of previously owned homes saw a rise of 4.8 percent compared to October, reaching the annualized rate of 4.15 million units. When measured year-over-year, sales reflected 6.1 percent growth, signifying the largest annual gain recorded in three years. "Home sales momentum is building," remarked Lawrence Yun, chief economist for NAR, emphasizing increased buyer activity as the economy adds jobs and housing inventory continues to grow.
The median price for homes sold reached $406,100, climbing 4.7 percent annually. This growth, especially prominent in the Northeast and Midwest, was enhanced by the fact 18 percent of homes sold exceeded their list price. Despite higher mortgage rates, which saw fluctuations throughout the year, first-time homebuyers accounted for 30 percent of sales—a slight increase from October.
Further examination reveals how regional markets performed within the U.S. One standout is Denver, where the RE/MAX National Housing Report reported home sales grew by 6.3 percent compared to November 2023. The median sales price hit $429,000, up 5.7 percent from the previous year but slightly lower than October's pricing. Amy Lessinger, President of RE/MAX LLC, stated, "Year-over-year growth across nearly all major categories signals a strong finish to 2024," indicating rising consumer confidence particularly among Millennial buyers.
Metro areas across the U.S. also showcased diverse performances. For example, Bozeman, Montana led with home sales jumping 45.8 percent year-over-year. Other cities like Coeur d’Alene, Idaho (up 27.9 percent) and Portland, Oregon (up 26.9 percent) illustrated strong market activity. Conversely, Miami saw the largest decline at -13.0 percent, signaling variable conditions across the map.
The buildup of inventory contributed to these positive trends, with U.S. housing supply up 17.7 percent year-over-year, totaling 1.33 million units available for sale at the end of October. Current sales pace suggests this is just slightly above the threshold for balanced market conditions—truly pivotal as buyers and sellers navigate the fluctuated terrain of rising prices.
Experts remain cautiously optimistic as mortgage rates impact the market dynamics. The recent uptick of the average 30-year fixed mortgage rate, now 21 basis points higher, has led some to wonder if investors are reassessing the market's peaks or assessing the stability of rental prices.
Sales of homes priced over $1 million surged significantly, up 24.5 percent, contrasting with the -24.1 percent drop for properties priced below $100,000. This shift indicates the influence of cash buyers, as investors continue to comprise only 13 percent of sales, down from previous years—a trend possibly driven by rising costs and uncertain future rate adjustments.
The combined data from various markets suggests not only resilience within the housing market as 2024 concludes but also invites speculation on the direction it will take going forward. With consumer confidence on the rise, 2025 may build upon these foundations, leading to continued improvements and sustained market activity. This November surge serves as both a milestone and motivation as stakeholders prepare for the coming year.
