ARLINGTON, Va. – Sales of existing homes leaped 7.2% during July for an annualized rate of 5.24 million units when seasonally adjusted. The increase is the largest monthly gain since recordkeeping began in 1999.
Year-over-year sales of existing homes were up 5%, while sales of single family homes and condos were up 6.5% and 12.5%. In its analysis of the upward trending home sales, NAFCU noted every region but the West has seen increases in sales, and that the median home price of an existing home declined 2% from June and 15.1% from one year earlier to $178,400.
“First-time homebuyer transactions made up 30% of all transactions, while distressed property sales accounted for 31% of all sales,” NAFCU noted in its analysis. “At the same time, ongoing job losses are likely to add to the high number of foreclosures, which will continue to depress home prices and keep inventory levels elevated into next year before reaching a more sustainable level. While a gradual improvement of the housing market is expected over the next months, the high level of foreclosures remains a downside risk.”
