The National Association of Realtors is reporting that existing home sales were down 4.6% in December to a seasonally-adjusted annual rate of 6.18 million (down 2% from one year ago). However, the NAR points out that In 2021 existing-home sales totaled around 6.12 million, which is an increase of 8.5% from 2020 and the highest annual level since 2006. Total housing inventory at the end of December was 910k units, down 14.2% from one year ago. Unsold inventory sits at a 1.8-month supply at the current sales pace with properties remaining on the market for around 19 days. The median existing-home price for all housing types in December was $358k, up 15.8% from December 2020.
“December saw sales retreat, but the pull back was more a sign of supply constraints than an indication of a weakened demand for housing…Sales for the entire year finished strong, reaching the highest annual level since 2006.” Said Lawrence Yun, NAR’s chief economist.