Summary
Home Sales Are Heating Back Up
Demand for homes remains exceptionally strong. Existing home sales rose 1.9% to a 6.46 million-unit annual rate in November, the third consecutive monthly gain and the strongest pace since January. The increase was presaged by the 7.5% rise in pending home sales in October, a forward-looking indicator based on signed contracts. November’s gain was broad-based, with both single-family (+1.6%) and condo & co-op (+4.4%) sales rising over the month. Inventories remain incredibly lean. Total housing inventory tumbled nearly 10% to 1.11 million units. At the current sales pace, inventories equate to a 2.1-month supply, the lowest since March and only slightly higher than the record-low of 1.9 months set late last year. Persistently limited supply amid strong demand continues to push up prices. The median price for overall existing homes rose to $353,900 in November, up 13.9% year-over-year. In the single-family market, the median price rose a sharper 14.9% year-over-year to $362,600. Condo & co-op median prices were up 4.4% over the year in November. READ FULL ARTICLE>>