Summary List Placement
Soaring demand and low inventory has resulted in competitive housing markets all over the country amid the pandemic.
A report by LendingTree found the five metropolitan areas with the least amount of competition for home buyers.
The study analyzed the metro areas based on data from January through July, and on average down payments, credit scores, and preapprovals.
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As the coronavirus pandemic rages on, homebuyers have shifted their interest to larger spaces and cheaper prices. That paired with record low mortgage rates have drastically increased buyer interest during the summer months.
This soaring demand and lagging inventory has made some markets more competitive than ever.
In fact, an early June survey of 1,000 homeowners by Clever found that 42% of homeowners who bought during the pandemic reported they had entered into a bidding war. The next month, Redfin reported that 54% of offers in June had faced competition, which has remained elevated.
But some are more competitive than others. A recent report by LendingTree, an online loan marketplace, ranked the 50 largest US metro areas by most to least competitive for prospective homebuyers, using data from January through July 2020.
To do this, they looked at each metro area and found the average down payment percentage, the share of homebuyers with a credit score of 720 or higher, and the share of buyers who looked to get a preapproved mortgage before shopping for a home.
Keep reading for the five least competitive metros on the list.
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5. The Baltimore metro area in Maryland
Share of homebuyers with a credit score of 720 or higher: 65.7%
Median down payment percent: 17.65%
Percentage of homebuyers who looked to get preapproved for a mortgage: 57.83%
Median home value in the Baltimore metro: $294,353
4. The Las Vegas metro area in Nevada
Share of homebuyers with a credit score of 720 or higher: 62.8%
Median down payment percent: 18.93%
Percentage of homebuyers who looked to get preapproved for a mortgage: 53.14%
Median home value in the Las Vegas metro: $295,500
3. The Oklahoma City metro area in Oklahoma
Share of homebuyers with a credit score of 720 or higher: 59.5%
Median down payment percent: 19.48%
Percentage of homebuyers who looked to get …read more
Source:: Business Insider