#2 reason for this Hot Market
Without a doubt, the #1 reason is the low inventory/ high demand environment. More specifically, low inventory. #2 is the primary driver for high demand...... boosted affordability.
Most of us acquire our homes using a loan. This loan's interest rate has a huge impact on how much home you can afford. Historically low interest rates (sub 3%) make it so that you can afford 10% more home than they could a year ago.
When I tell homeowners and potential buyers that affordability is unusually high I often encounter pushback. I created a slide deck to more effectively illustrate housing affordability: