Home Sellers in 2019 Averaged $65,500 Profit

There’s good news for anyone thinking of selling their house: New data shows that profits for home sellers are on the rise.

Property data provider ATTOM Data Solutions used its collection of information on taxes, deeds, mortgages and foreclosures for more than 155 million residential and commercial properties across this country to compile its Year-End 2019 U.S. Homes Sales Report. For home sellers, 2019 turned out to be a profitable one, as the average return on investment (ROI) for residential real estate sales hit a 13-years high.

Nationwide, sellers earned a median $65,500 on a typical sale, with an ROI of approximately 34% over the original purchase price. The profit figure marked a rise from $58,100 in 2018 and $50,027 in 2017. The median ROI, meanwhile, was up from 31.4% the year before, and up from 27.4% in 2017.

The nationwide median home price also hit an all-time high in 2019, rising 6.2% to $258,000, the data showed.

Western home sellers fare the best

As for regional differences, the data found that home sellers in Western states saw the highest median return on investments. Among 220 metropolitan areas with populations greater than 200,000, the regions boasting the highest ROIs were:

1. San Jose, Calif. (82.8% ROI)

2. San Francisco (72.8% ROI)

3. Seattle (65.6% ROI)

4. Merced, Calif. (63.2% ROI)

5. Salem, Ore. (62.1% ROI)

As for the change in median home prices, data from 134 metropolitan areas with more than 200,000 residents showed that the metros with the biggest price gains for 2019 were:

1. South Bend, Ind. (up 18.4%)

2. Boise, Idaho (up 12.6%)

3. Spokane, Wash. (up 10.9%)

4. Atlantic City, N.J. (up 10.6%)

5. Salt Lake City (up 9.6%)

The data also found that homeowners are holding onto their properties longer before selling. Homeowners who sold their houses in the fourth quarter of 2019 had owned the property, on average, for 8.21 years. This was slightly higher than the 8.08 years home sellers had owned their homes in the previous quarter, and surpassing the average 7.95 years of ownership for sales in the fourth quarter of 2018.

In fact, in 2019, home sellers had owned their homes, on average, for the longest period of time since ATTOM Data first started collecting such data in 2000.

If you’re thinking about selling your house, determining the best time to sell can help you to earn a higher profit. Ideally a seller’s market would make it easier, while other factors to consider include the strength of recent appraisals and your tax situation.