Here’s How Much Median Home Prices Shot Up Since 2019 (2024)

If you held onto a house you bought in 2019, you probably saw the value soar. Just last week, we saw double-digit price growth for the 50th consecutive week, signaling one of the strongest home price appreciation years on record, according to Realtor.com’s Weekly Housing Trends Report for the week ending July 24.

And in April, which is traditionally before peak homebuying season begins, the year-over-year (YOY) growth rate hit 17.2%, the largest gains since 2013, when Realtor.com began tracking the data.

While mortgage rates are lower than they were last year, it’s not enough to offset the rising home prices, says Danielle Hale, chief economist at Realtor.com. “Today’s buyers are paying over $100 more each month than they would have at this time last year,” Hale said in the report.

To find out just how much wealth homeowners accrued over the past couple of years, we looked at the median home prices of single-family homes in 20 of the fastest-growing metro areas. The results speak for themselves―while price gains differed by area, each one experienced significant growth.

Cash-only for Area With Fastest Growing Home Prices

According to data from the National Association of Realtors, the metro area with the highest growth in YOY median sales price from 2019 to 2021 was Naples-Immokalee-Marco Island in Southwest Florida. Although the area is home to just under 400,000 residents, the population has been steadily increasing over the past two decades.

Folks who bought homes in 2019 at the median sales price in the Naples-Immokalee-Marco Island area saw a $171,000 equity boost in just two years. This is a huge return on investment, especially when you consider that since 2013 overall home price appreciation has bounced between 4% and 7.7%. It shot up to 15.6% in June 2021, according to analysis from the American Enterprise Institute.

Although Shannon Lefevre, PA, a broker associate at John R. Wood Properties in Naples, has seen competitive markets in the past, she describes the current surge in buyers and offers as “breathtaking.”

In fact, Lefevre―who’s been selling real estate in Naples for almost two decades―says there’s so much action in the local real estate market, not only is cash king, it’s often the only deal sellers will take.

“It’s not uncommon for a seller’s listing to have remarks that state ‘cash-only.’ The newer agents have never seen this side of the market, they think it’s weird that sellers will only take cash. But there’s so much demand that sellers can ask for cash-only and they’re getting it,” Lefevre says.

For buyers who want to take advantage of today’s low-interest rates while keeping their cash on hand, they often buy with cash and then refinance into a mortgage later.

Not only are higher prices turning heads, but the type of buyers (and why they’re buying in Naples) is also a departure from times past.

Usually, Lefevre would get calls from buyers “hysterical after big snowstorms” desperate to escape more harsh winters. Now she’s hearing from people who want to flee from high-tax states, like California—which she says is an area of the country that more of her customers are coming from, a shift from traditional origins like Canada, the United Kingdom or other parts of Florida.

Not only that, but she’s hearing from more families who are interested in moving to Naples year-round (or at least for the better part of the year) than just snowbirds who plan on visiting during Easter and Christmas.

What Buyers Should Do In a Hot Market

Throughout the country, buyers are facing the same calculus: low inventory and high buyer demand. This comes out to very little advantage for buyers in most markets.

Unless you stumble upon a pocket listing—a home that hasn’t hit the market—or a family member or friend who isn’t looking to squeeze every penny they can from their property, then you’re going to be at the mercy of the seller.

In some cases, this could mean waiving contingencies. In other words, you’ll forgo all of the contractual agreements meant to protect you and risk losing your earnest money. Or in other cases, like the Naples market, sellers are trending toward all-cash offers. Of course, this isn’t practical for most homebuyers, especially if this is your first time purchasing a home.

Before you hit the open houses, shop around for a lender. Once you find someone you trust (ideally they come with high recommendations from someone you know and good reviews), find out how much you qualify for. This will give you an idea of your purchasing power in the area where you want to buy.

If you’re a first-time buyer or haven’t owned a home in at least three years, you may also qualify for down payment assistance (DPA)―this can increase your budget or just give you more of a financial cushion so you don’t drain your savings to buy a house.

The next step is to talk to a real estate agent. The same rule for lenders (great recommendations and reviews) applies to real estate agents. You want to work with someone that knows the area and has a sterling reputation. If you’re lucky, they might pass on an opportunity before it even hits the market, which can be hugely beneficial in a competitive market.

Some buyers have had to move farther away from city centers into the suburbs or exurbs to afford a home. Another option is to buy a condo, which is usually cheaper and comes with less buyer competition.

Finally, find out when the slow homebuying season is in your area. On a national level, homebuying typically slows down at the end of the summer when the school year is about to begin.

The holidays are usually another sluggish time for homebuying. However, in vacation destinations, the buying seasons might be reversed, so talk to your real estate agent about the local trends. Strategic buyers will wait until the season slows down to get a better deal and avoid the throngs of other buyers.