Existing-home sales bounce back in October
Existing-home sales rebounded in October after a decline in September.
Total existing-home sales increased 1.9% to a seasonally adjusted rate of 5.46 million, according to the latest report from the National Association of Realtors (NAR). This includes completed transactions of single-family homes, townhomes, condos, and co-ops.
Overall sales have risen 4.6% from a year ago and a rate of 5.22 million in October 2018.
“Historically-low interest rates, continuing job expansion, higher weekly earnings and low mortgage rates are undoubtedly contributing to these higher numbers,” said Lawrence Yun, chief economist of the NAR. “We will likely continue to see sales climb as long as potential buyers are presented with an adequate supply of inventory.”
The median existing-home price for all housing types in October was $270,900, up 6.2% from October 2018 ($255,100), as prices rose in all regions. October’s price increase marks 92 straight months of year-over-year gains.
Total housing inventory at the end of October sat at 1.77 million units, down approximately 2.7% from September and 4.3% from one year ago (1.85 million). Unsold inventory sits at a 3.9-month supply at the current sales pace, down from 4.1 months in September and from the 4.3-month figure recorded in October 2018.
“The issuance of more housing permits is a very positive sign and a good step toward more inventory,” said Yun, citing the latest data for housing starts. “In order to better counter and even slow the increase in housing prices, home builders will have to bring additional homes on the market.”
Single-family home sales sat at a seasonally-adjusted annual rate of 4.87 million in October, down from 4.77 million in September, but up 5.4% from a year ago. The median existing single-family home price was $273,600 in October 2019, up 6.2% from October 2018.
Existing condominium and co-op sales were recorded at a seasonally adjusted annual rate of 590,000 units in October, about even with the previous month and 1.7% lower than a year ago. The median existing condo price was $248,500 in October, which is an increase of 5.6% from a year ago.
October 2019 existing-home sales in the Northeast fell 1.4% to an annual rate of 690,000, with no change from a year ago. The median price in the Northeast was $296,700, up 5.7% from October 2018.
In the Midwest, existing-home sales increased 1.6% to an annual rate of 1.29 million, up 2.4% from a year ago. The median price in the Midwest was $209,900, a 6.7% jump from a year ago.
Existing-home sales in the South increased 4.4% to an annual rate of 2.35 million in October, up 7.8% from a year ago. The median price in the South was $234,900, a 6.0% increase from this time last year.
Existing-home sales in the West declined 0.9% to an annual rate of 1.13 million in October, 3.7% above a year ago. The median price in the West was $410,700, up 7.8% from October 2018.
Properties typically remained on the market for 36 days in October, up from 32 days in September and consistent with October 2018 numbers. The NAR said that 46% of homes sold in October 2019 were on the market for less than a month.
First-time buyers were responsible for 31% of sales in October, down from 33% in September and identical to the 31% recorded in October 2018.
The hottest metro areas in October were Fort Wayne, Ind.; Pueblo, Colo.; Columbus, Ohio; Rochester, N.Y.; and Colorado Springs, Colo.
While mortgage rates have been trending downward since July through September, they rose slightly in October. According to Freddie Mac, the average 30-year, conventional, fixed-rate mortgage increased to 3.69% in October, up from 3.61% in September.
Total existing-home sales increased 1.9% to a seasonally adjusted rate of 5.46 million, according to the latest report from the National Association of Realtors (NAR). This includes completed transactions of single-family homes, townhomes, condos, and co-ops.
Overall sales have risen 4.6% from a year ago and a rate of 5.22 million in October 2018.
“Historically-low interest rates, continuing job expansion, higher weekly earnings and low mortgage rates are undoubtedly contributing to these higher numbers,” said Lawrence Yun, chief economist of the NAR. “We will likely continue to see sales climb as long as potential buyers are presented with an adequate supply of inventory.”
The median existing-home price for all housing types in October was $270,900, up 6.2% from October 2018 ($255,100), as prices rose in all regions. October’s price increase marks 92 straight months of year-over-year gains.
Total housing inventory at the end of October sat at 1.77 million units, down approximately 2.7% from September and 4.3% from one year ago (1.85 million). Unsold inventory sits at a 3.9-month supply at the current sales pace, down from 4.1 months in September and from the 4.3-month figure recorded in October 2018.
“The issuance of more housing permits is a very positive sign and a good step toward more inventory,” said Yun, citing the latest data for housing starts. “In order to better counter and even slow the increase in housing prices, home builders will have to bring additional homes on the market.”
Single-family home sales sat at a seasonally-adjusted annual rate of 4.87 million in October, down from 4.77 million in September, but up 5.4% from a year ago. The median existing single-family home price was $273,600 in October 2019, up 6.2% from October 2018.
Existing condominium and co-op sales were recorded at a seasonally adjusted annual rate of 590,000 units in October, about even with the previous month and 1.7% lower than a year ago. The median existing condo price was $248,500 in October, which is an increase of 5.6% from a year ago.
October 2019 existing-home sales in the Northeast fell 1.4% to an annual rate of 690,000, with no change from a year ago. The median price in the Northeast was $296,700, up 5.7% from October 2018.
In the Midwest, existing-home sales increased 1.6% to an annual rate of 1.29 million, up 2.4% from a year ago. The median price in the Midwest was $209,900, a 6.7% jump from a year ago.
Existing-home sales in the South increased 4.4% to an annual rate of 2.35 million in October, up 7.8% from a year ago. The median price in the South was $234,900, a 6.0% increase from this time last year.
Existing-home sales in the West declined 0.9% to an annual rate of 1.13 million in October, 3.7% above a year ago. The median price in the West was $410,700, up 7.8% from October 2018.
Properties typically remained on the market for 36 days in October, up from 32 days in September and consistent with October 2018 numbers. The NAR said that 46% of homes sold in October 2019 were on the market for less than a month.
First-time buyers were responsible for 31% of sales in October, down from 33% in September and identical to the 31% recorded in October 2018.
The hottest metro areas in October were Fort Wayne, Ind.; Pueblo, Colo.; Columbus, Ohio; Rochester, N.Y.; and Colorado Springs, Colo.
While mortgage rates have been trending downward since July through September, they rose slightly in October. According to Freddie Mac, the average 30-year, conventional, fixed-rate mortgage increased to 3.69% in October, up from 3.61% in September.