The National Association of Realtors is reporting that existing home sales got off to their fastest pace in nearly 10 years. They report that total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, expanded 3.3% to a seasonally adjusted annual rate of 5.69 million in January – which is 3.8% higher than a year ago and the highest since February 2007. The median existing-home price for all housing types in January was $228,900, up 7.1% from January 2016 and marks the 59th consecutive month of year-over-year gains. Total housing inventory at the end of January rose 2.4% (1.69 million) but is 7.1% lower than a year ago and has fallen year-over-year for 20 straight months. Unsold inventory is at a 3.6-month supply at the current sales pace.
Lawrence Yun, NAR chief economist, says January’s sales gain signals resilience among consumers even in a rising interest rate environment. “Much of the country saw robust sales activity last month as strong hiring and improved consumer confidence at the end of last year appear to have sparked considerable interest in buying a home,” he said. “Market challenges remain, but the housing market is off to a prosperous start as homebuyers staved off inventory levels that are far from adequate and deteriorating affordability conditions.”
Click here to read the full release at the National Association of Realtors.
