Arkansans join rest of nation in buying more homes at higher prices


As interest rates soar to their highest levels in years, Americans and Arkansans are continuing to buy homes at a record pace and paying more than they ever have before. And the hot market is fueling sales above asking price in a market flooded with potential buyers as housing stock dwindles.

As a result, the U.S. Home Price Index increased roughly 30% from January 2020 to the end of 2021. Existing houses are selling faster and at record prices, with some areas being hit harder than others.

Statewide, Arkansas ranked 42nd nationally with 32% of the homes listed for sale in metro areas selling above asking prices last year. Massachusetts led the nation at 61.5% followed by California at 60.6%.

None of the state's cities cracked the top 100 metro areas where homes sold above asking prices. The report, available at porch.com, ranks 261 metropolitan areas, including small, midsize and the nation's largest cities.

San Jose, Calif., led the nation with 75.7% of homes selling above asking, followed by the Bay Area of San Francisco at 74.2%.

The Northwest Arkansas corridor of Fayetteville-Springdale-Rogers led the state at 39% though it ranked 127th in the nation. Little Rock ranked 185th with 34% of homes selling above asking price. Jonesboro ranked 248th at 25%; Texarkana was next at 249 with 22.4% selling above asking; and Fort Smith came in close behind at 251st with 16.9%.

In Arkansas, the median sale price for a home last year was $216,716, up 13% from 2020. Only the Jonesboro metro area trailed in the year-over-year increase, with median sale price up 5.6% at $178,860.

Median prices increased the most in Fort Smith in 2021, rising 37.6% to $193,460. Home prices were up 16.2% in Northwest Arkansas to $269,130 while Little Rock recorded an 11% gain, with a median sale price of $200,534. Median home prices rose 13.1% in Texarkana at $216,830.

Sale prices are being influenced by severe reductions in the nation's housing stock, which has been dwindling during the pandemic as fewer new homes are built because of labor shortages and supply-chain bottlenecks. There are fewer homes being built for sale and the homes that are on the market are being gobbled up.

Porch reports that the nation's available housing stock, measured by the number of months it would take for current inventory to sell, fell from a 2.6-month supply in the summer of 2021 to just a 1.6-month supply at the beginning of this year.

DIGITAL MARKETING SUPPORT

The Arkansas Small Business and Technology Development Center is offering its first-ever digital marketing masterclass later this month. Four virtual sessions on April 19 and 21 will equip Arkansas companies with initiatives to create new opportunities and multiple revenue streams.

Sessions will be led by noted consultant Shane Barker, who specializes in e-commerce, web design and development, social media marketing, lead generation and email marketing.

Barker's marketing growth podcast ranks among the top 40 in the business category for Apple podcasts.

"For many small businesses, digital marketing has become a lifeline that helped them survive during the pandemic," Barker says. "This is a course designed to help small businesses and entrepreneurs navigate the online world and understand how they can leverage digital marketing for their business."

The course is intended for businesses that already have a website and social media presence and are ready to develop a sustainable digital marketing strategy. Registration is $150.

Visit asbtdc.org/digital-marketing-masterclass for details or to apply.

MATCHMAKING OPPORTUNITY

Women- and minority-owned businesses across Arkansas are being encouraged to sign up for a matchmaking event scheduled for May 11. The initiative provides networking opportunities for small business owners and local, state and federal government buyers across Arkansas.

The one-day event matches minority- and women-owned businesses with private and public sector buyers for contracting opportunities. Participants will have a 15-minute, pre-arranged matchmaking appointment.

The effort is the signature event for the Minority and Women-Owned Business Enterprise Division of the Arkansas Economic Development Commission. The department is partnering with the Arkansas office of the U.S. Small Business Administration and the Arkansas Procurement Technical Assistance Center on the event.

The event is provided at no cost and is scheduled for 8 a.m.-4 p.m. at Heifer International headquarters in Little Rock. Details are available at info.arkansasedc.com.

COMING BACK TO NWA

The Northwest Arkansas Startup Crawl returns to downtown Fayetteville on Friday after being postponed for two years because of the pandemic. The fourth annual festival will celebrate the region's entrepreneurial community by bringing together startups, live music and locally brewed beer.

Labeled the "Biggest Startup Party in Arkansas," the initiative connects thousands of Arkansans to the region's innovators, founders and entrepreneurs over a shared interest in local startup companies.

"After a couple of covid-19 cancellations, we are so excited to bring this event back and bring together some of Northwest Arkansas' most innovative startups to one, central location where the community can learn from and engage with founders during Arkansas' biggest startup party," said Caleb Talley, Startup Junkie executive director.

Festivities begin on the downtown Fayetteville square. Each crawl stop will be paired with a local brewery, leading attendees to the Pryor Center at 1 E. Center St., where dozens of Arkansas-based startups will be set up to share information about their operations.

Column ideas or recommendations? Thoughts or musings that need pursuing? Contact me at amoreau@adgnewsroom.com or at 501-378-3567.


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