(Bloomberg) — US home prices, fueled by the lowest mortgage rates in history, surged in the fourth quarter.
The median price of a single-family home climbed 14.9 percent to $315,000 compared with a year earlier, according to the National Association of Realtors.
The Northeast led the way as buyers rushed to the suburbs. Fairfield County, Conn., home to Greenwich and other tony towns, rose 39 percent for the biggest increase in the United States.
The pandemic property boom has been driven by low borrowing costs and flexible work policies that allow Americans to live where they want.
People are leaving expensive cities like New York and San Francisco, relocating to more affordable areas. Even with high unemployment, prices are soaring across the United States because there’s an increasingly short supply of existing homes from which to choose.