Connect With PPD
Follow Us:
Economy

Existing Home Sales Fell Slightly for Third Straight Month

NAR Chief Economist Predicts Existing Home Sales Are Likely at Cyclical Low, Will Rebound

A under contract sign on a home previously for sale in Vienna, Va. (Photo: Reuters)

Existing home sales fell slightly for the third straight month in January, according to the National Association of Realtors (NAR). Of the four major U.S. regions, only the Northeast saw an increase last month.

Total existing-home sales–completed transactions that include single-family homes, townhomes, condominiums and co-ops–fell 1.2% from December to a seasonally adjusted annual rate of 4.94 million. Sales are now down 8.5% from a year ago (5.40 million in January 2018).

The forecasts ranged from a low of 4,900,000 million to 5,100,000 million, with a consensus looking for 5,040,000 million.

“Existing home sales in January were weak compared to historical norms; however, they are likely to have reached a cyclical low,” Lawrence Yun, NAR’s chief economist said. “Moderating home prices combined with gains in household income will boost housing affordability, bringing more buyers to the market in the coming months.”

The median existing-home price for all housing types in January was $247,500, a gain of 2.8% from January 2018 ($240,800). The month of January marks price increases for the 83rd straight month of year-over-year gains.

Mr. Yun noted that median home price growth is the slowest since February 2012.

“Lower mortgage rates from December 2018 had little impact on January sales, however, the lower rates will inevitably lead to more home sales.”

Total housing inventory at the end of the month rose to 1.59 million, up from 1.53 million existing homes available for sale in December. That represents an increase from 1.52 million a year ago.

Unsold inventory is at a 3.9-month supply at the current sales pace, up from 3.7 months in December and from 3.4 months in January 2018.

Properties remained on the market for an average of 49 days in January, up from 46 days in December and 42 days a year ago. Thirty-eight percent (38%) of homes sold in January were on the market for less than a month.

READ FULL STORY

SubscribeSign In
PPD Business Staff

PPD Business, the economy-reporting arm of People's Pundit Daily, is "making sense of current events." We are a no-holds barred, news reporting pundit of, by, and for the people.

Share
Published by
PPD Business Staff

Recent Posts

Media’s Worst Russian Collusion Sins May Soon Be Repeated

The most damning journalistic sin committed by the media during the era of Russia collusion…

8 months ago

Study: Mask-Mandates and Use Not Associated With Lower Covid-19 Case Growth

The first ecological study finds mask mandates were not effective at slowing the spread of…

3 years ago

Barnes and Baris on Big Tech’s Arbitrary Social Media Bans

On "What Are the Odds?" Monday, Robert Barnes and Rich Baris note how big tech…

3 years ago

Barnes and Baris on Why America First Stands With Israel

On "What Are the Odds?" Monday, Robert Barnes and Rich Baris discuss why America First…

3 years ago

Personal Income Fell Significantly in February, Consumer Spending Weaker than Expected

Personal income fell $1,516.6 billion (7.1%) in February, roughly the consensus forecast, while consumer spending…

3 years ago

Study: Infection, Vaccination Protects Against Covid-19 Variants

Research finds those previously infected by or vaccinated against SARS-CoV-2 are not at risk of…

3 years ago

This website uses cookies.