Americans are holding houses longer, and that costs prospective home buyers.
The length of time American homeowners stay has gradually increased, which is a big reason why the stock of homes for sale is at a low point and that prices are soaring.
The typical homeowner in 2020 remained 13 years, slightly up from 12.8 years in 2019, and well ahead of the 2010 reading of 8.7 years, according to a new analysis by realtors Redfin Corp. About one in four U.S. homeowners has lived in the same home for more than 20 years, the study showed.
Home sales rose last year, reaching their highest level in 14 years, as the coronavirus pandemic led many Americans to search for a larger home where they could work more remotely. This was one of the reasons why the average homeownership leveled off last year.
But concerns about Covid-19 have had the opposite effect among potential sellers. A fear of strangers entering their homes during the pandemic has forced some people to list, cancel or postpone their plans to list their homes.