Existing home sales have differed across the country by region according to a recent report by the National Association of Realtors (NAR). Two of the major areas had shown slight slow downs in June’s sales while the remaining two saw increases. The South and West experienced declines where the North and East showed small jumps in activity.
“Home sales are running at a pace similar to 2015 levels – even with exceptionally low mortgage rates, a record number of jobs and a record high net worth in the country,” said Lawrence Yun, NAR’s chief economist. Yun says the nation is in the midst of a housing shortage and much more inventory is needed. “Imbalance persists for mid-to-lower priced homes with solid demand and insufficient supply, which is consequently pushing up home prices,” he said.
The median home price for all property types for the month of June was up 4.3% over last year at this same time frame. Continuing the pattern of increases, this was the 88th month in a row for price increases.
Housing inventory levels increased from the month of May to June, but are at the same level as they were a year ago. Available inventory is at a 4.4 month supply at the current pace of sales.
Days on Market
Properties stayed on the market for an average of 27 days in June which was up from 26 days in May as well as June of 2018. During June, 56% of the properties that sold in the month were on the market for less than 30 days.
The average rate for a 30 year conventional mortgage decreased to 3.80% per Freddie Mac. This was down from 4.07% in May. By perspective, the average for all of 2018 was 4.54% so lately rates have been very favorable.