Fueled by the coronavirus pandemic, house prices soar in the United States

Home prices across the country continue to rise through the roof during the coronavirus pandemic.

The median price of a single-family home in the United States jumped to $ 313,500 in the third quarter, a 12% increase over last year’s price, the National Association of Realtors revealed in a report Friday.

The median price of a single-family home in the United States rose to $ 313,500 in the third quarter, a 12% increase from last year, according to the National Association of Realtors. (iStock)

Median single-family home prices have skyrocketed from a year ago in 181 metropolitan areas, with 65% seeing double-digit price increases, according to the report. And Americans would have to spend $ 1,059 on a monthly mortgage payment and would have to bring in $ 50,819 a year to be able to afford it.

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Home prices in the West saw the largest increases in house prices, up 13.7%, with house prices surging in the nearby Northeast to 13.3%, according to the report. Median home prices in the South rose 11.4% and prices jumped 11.1% in the Midwest.

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Parts of the countries with the most significant increase in home prices included Bridgeport, Connecticut, with home prices up 27.3% in the third quarter; Crestview, Florida (up 27.1%); Pittsfield, Massachusetts (up 26.9%); Kingston, New York (up 21.5%); and Atlantic City, New Jersey (up 21.5%).

Record mortgage rates are pushing demand up faster than the supply of listings in the United States, with many Americans moving from cities to the suburbs while working from home during the pandemic. And more and more consumers may continue to do so as the number of COVID-19 cases increases.

A 30-year fixed rate mortgage currently stands at 2.84% for the week ending November 12, up from 2.78% last week and down from a year earlier when rates were 3.75%, according to Freddie Mac.