logo
Plus   Neg
Share
Email

U.S. Existing Home Sales Rebound More Than Expected In October

existing-homesales-112118-lt.jpg

After reporting six straight months of decreases, the National Association of Realtors released a report on Wednesday showing existing home sales in the U.S. rebounded by more than anticipated in the month October.

NAR said existing home sales surged up by 1.4 percent to an annual rate of 5.22 million in October after plunging by 3.4 percent to a rate of 5.15 million in September. Economists had expected existing home sales to jump by 1.0 percent.

"After six consecutive months of decline, buyers are finally stepping back into the housing market," said NAR chief economist Lawrence Yun.

He added, "Gains in the Northeast, South and West - a reversal from last month's steep decline or plateau in all regions - helped overall sales activity rise for the first time since March 2018."

Existing home sales in the West spiked by 2.8 percent, while existing home sales in the South and Northeast shot up by 1.9 percent and 1.5 percent, respectively.

On the other hand, the report said existing home sales in the Midwest fell by 0.8 percent during the month.

NAR said the median existing home price for all housing types was $255,400 in October, down 0.6 percent from $256,900 in September but up 3.8 percent from $246,000 in October of 2017.

Total housing inventory decreased to 1.85 million existing homes available for sale at the end of October from 1.88 million at the end of September but is up from 1.80 million a year ago.

The unsold inventory represents 4.3 months of supply at the current sales pace, down from 4.4 months in September but up from 3.9 months a year ago.

"As more inventory enters the market and we head into the winter season, home price growth has begun to slow more meaningfully," said Yun. "This allows for much more manageable, less frenzied buying conditions."

The report also said single-family home sales increased by 0.9 percent to an annual rate of 4.62 million in October, while existing condominium and co-op sales soared by 5.3 percent to a rate of 600,000.

Next Wednesday, the Commerce Department is scheduled to release a separate report on new home sales in the month of October.

For comments and feedback contact: editorial@rttnews.com

Economic News

What parts of the world are seeing the best (and worst) economic performances lately? Click here to check out our Econ Scorecard and find out! See up-to-the-moment rankings for the best and worst performers in GDP, unemployment rate, inflation and much more.

Follow RTT
>