According to a report released by the National Association of Realtors home sales have shown an increase at the close of the month of July. The month before there was a mix of increases in the northeast and decreases elsewhere, but July had increases overall with only a slight decline in the northeast. Total existing sales overall for single families, townhomes, condos and co-ops increased by 2.5% in July and sales overall were had grown by 0.6% over last year at this time.
“Falling mortgage rates are improving housing affordability and nudging buyers into the market,” said Lawrence Yun, NAR’s chief economist. However, he added that the supply of affordable housing is severely low. “The shortage of lower-priced homes have markedly pushed up home prices.”
The median price for all housing this July had increased by 4.3% over last July. Yet again this increase marks the 89th consecutive month for home price increases. Home price appreciation has been seen much greater among the lower-priced market according to a data analysis from Black Knight and Realtors Property Source.
Inventory levels had dipped during July from June and from the previous year at the same time. Housing inventory is now at a 4.2 month supply which is lower than the 4.4 month supply seen in June.
Days on Market
Homes were on the market for 29 days during July which was up from 27 days for the month in June and also 27 for July of 2018. Over 50% of the properties sold in July were on the market for less than one month.
The average commitment rate for a 30 year conventional fixed home loan dropped to 3.77% in July according to Freddie Mac. June’s average was 3.80% and the average for all of 2018 by comparison was 4.54%