Please wait as we prepare your PDF file ....

Mission Chronicle Blog

Search Blog

our goal is to help you stay informed by providing timely and interesting articles.

January existing-home sales show fastest seasonally adjusted annual sales growth in almost 10 years

02/22/2017

Download PDF

The first month of 2017 sets the year up for a red-hot start after what NAR Chief Economist Lawrence Yun called a “soft” December.

In January, NAR’s existing-home sales spiked 3.3 percentage points to a seasonally adjusted annual rate (SAAR) of 5.69 million — up from an upwardly revised 5.51 million in December.

This month’s sales pace is 3.8 percentage points above January 2015 and is the fastest SAAR sales pace in nearly a decade.

The Northeast, South and West experienced strong growth, while the Midwest took a small hit. Distressed sales were unchanged at 7 percent, which is still lower than a year ago.

January’s numbers show ‘resilience’

The median existing-home price for all housing types in January rose 7.1 percentage points to $228,900, which marks the 59th consecutive month of year-over-year gains.

Total housing inventory experienced a boost as well, with a 2.4 percentage point jump to 1.69 million homes for sale — a much-needed jump from the rock bottom levels seen in December 2016.

Despite the strong numbers, inventory is still 7.1 percentage points below January 2016 and is the 20th consecutive month of year-over-year declines. Unsold inventory is at an unchanged 3.6-month supply.

NAR Chief Economist Lawrence Yun says January’s existing-home sales show the resilience among consumers in the face of rising mortgage interest rates.

“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.”

Builder breakdown

Distressed sales, which include foreclosures and short sales, were at 7 percent — unchanged from December and a 9 percentage point drop from January 2016. Five percent of January sales were foreclosures, and 2 percent were short sales.

Single-family home sales were at a SAAR of 5.04 million — a 2.6 percentage point month-over-month increase and a 3.7 percentage point year-over-year increase. The sales price for single-family homes increased by 7.3 percentage points to $230,400.

Existing condominium and co-op sales rose 8.3 percentage points to a SAAR of 650,000 units, 4.8 percentage points higher than a year ago. The median existing condo price was $217,400 in January — up 6.2 percentage points from 2016.

How did buying patterns vary across the country? In the Northeast, existing-home sales jumped 5.3 percent to an annual rate of 800,000, up 6.7 percent from a year ago. Median price: $253,800, a 2.5 percent year-over-year decrease. In the Midwest, existing-home sales decreased 1.5 percent to an annual rate of 1.29 million. Median price: $174,900, a 6.5 percent year-over-year increase. In the South, existing-home sales rose 3.6 percent to an annual rate of 2.31 million. Median price: $201,400, a 9.2 percent year-over-year increase. In the West, existing-home sales ascended 6.6 percent to an annual rate of 1.29 million. Median price: $332,300, an 6.8 percent year-over-year increase.

Existing-home sales are based on transaction closings from MLSs and include single-family homes, townhomes, condominiums and co-ops.

Seasonally adjusted annual rates are used in reporting monthly data to help accommodate for seasonal variation; the annual rate for any given month represents what the total number of actual sales for a year would be if the pace for that month were maintained for a whole year.

Email Marian McPherson

Source: click here

Read More

INSPIRED, INTELLIGENT, INSIGHTFULL

STAY INFORMED WITH TIMELY AND INTERESTING ARTICLES FROM OUR BLOG, MISSION CHRONICLE. OUR ASPIRATION IS TO PROVIDE REALTORS AND OTHER REAL ESTATE INDUSTRY PROFESSIONALS WITH EXCEPTIONAL RESOURCES AND SHARE OUR KNOWLEDGE TO PROPEL YOU TO YOUR GOALS.

  • When a second home becomes a first home: helping buyers make the switch

    For many luxury buyers, a dream home is within reach — in fact, they might already own one. As hom...

  • Switcher Studio brings easy, broadcast-level video production to the iPhone

    September is Marketing and Branding Month at Inman. That means we’re talking to the chief marketin...

  • Looking for a simple solution to social media? Try PropertySimple

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • Furnished or unfurnished? 3 agents weigh in

    When putting a property on the market, a seller has a variety of options: list the home fully furnis...

  • Want video landing pages in a snap? Real Estate Shows might be for you

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • Renovation-averse buyer? We have tips for that

    Luxury real estate buyers lead increasingly complex lives, so it’s no surprise that many are optin...

  • Openhouse Live makes Matterport tours a group event

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • Rethinking home: How buyers are reprioritizing amenities

    Among all the shifts that have happened this year, the fact that businesses rely on a distributed wo...

  • Not good at arranging throw pillows? Good thing there’s Stagerie

    Have suggestions for products that you’d like to see reviewed by our real estate technology ex...

  • The Instagram playbook: how to make your listings stand out in the age of visuals

    When today’s emerging affluent consumer wants to curate a gallery of their lives through video and...

September 2020
Mon Tue Wed Thu Fri Sat Sun
 123456
78910111213
14151617181920
21222324252627
282930  

  • Polls

    What information you are looking for?

    View Results

    Loading ... Loading ...
  • Last month Results

    How Is My Site?

    • Good (100%, 3 Votes)
    • Excellent (0%, 0 Votes)
    • Bad (0%, 0 Votes)
    • Can Be Improved (0%, 0 Votes)
    • No Comments (0%, 0 Votes)

    Total Voters: 3

    Vote

    Loading ... Loading ...