Existing Home Sales Rebound Pushing Median Price To New High

Dated: 06/23/2017

Views: 10

Image title

Existing home sales rebounded in May following a weak April with a seasonally-adjusted annual rate of 5.62 million.

The increase reported by the National Association of Realtors was 1.1% above April 2017 and 2.7% higher than May 2017, the third highest annual pace of the past year.

Despite low inventory and high prices, economic factors gave the spring buying season a boost as homebuyer confidence jumped.

"The job market in most of the country is healthy and the recent downward trend in mortgage rates continues to keep buyer interest at a robust level," noted NAR chief economist Lawrence Yun.

The competitive market pushed the nationwide median existing home price to a new record high of $252,800. That’s 5.8% above May 2016 and beats the previous median peak of $247,600 last June.

"Home prices keep chugging along at a pace that is not sustainable in the long run," added Yun. "Current demand levels indicate sales should be stronger, but it's clear some would-be buyers are having to delay or postpone their home search because low supply is leading to worsening affordability conditions."

There was an increase in inventory in May, up 2.1% month-over-month to 1.96 million existing homes, but this was more than 8% below a year ago and represents 4.2 months of supply.

More market update:

Original article click here

Latest Blog Posts

Homeowners Reveal Their Top Nonnegotiable Amenities

September 24, 2018Home shoppers are unwilling to negotiate on certain amenities, and prime among them are central air conditioning and a private patio or backyard, according to a new survey of more

Read More

Rising Mortgage Costs Remain Below 2006-07 Peak

September 24, 2018With home prices mostly holding to an upward trend, more owners are facing rising mortgage costs. But even so, homeowners are still paying less in mortgage payments than they did

Read More

5 Signs You’re Ready to Buy a Vacation Home

By the Experts at HippoYou've just returned from a trip to the beach. You ask yourself: Why should I continue to pay rental fees when I could own a vacation home and rent it out? Unless you're

Read More

Real Estate Community Focuses on Disaster Preparedness

September 6, 2018Natural disasters such as floods, fires, hurricanes, and mudslides pose threats to more communities than ever before, and the real estate community is keeping an eye on how this

Read More