Volume of US home sales reaches pre-recession levels

May’s sales volume was 4.5 percent higher than during the same period last year

New York /
Jun.June 22, 2016 11:40 AM

U.S. home sales hit their fastest pace in nine years last month, as interest rates remained low and unemployment steadily declined.

From April to May, sales rose by nearly 2 percent to a seasonally adjusted annual rate of 5.53 million, according to National Association of Realtors data. May’s sales volume was 4.5 percent higher than during the same period last year.

Prices are also up, according to the Wall Street Journal. The median sale price for a previously owned U.S. home last month was $239,700, a 4.7 percent jump from a year earlier and the highest median ever recorded.

Housing inventory is lagging behind demand as home builders scramble to keep up. There were 2.2 million existing homes on the market at the end of May — a 5.7 percent decrease from last year.

“We have a tight inventory situation—whatever is coming on the market is moving very fast,” Lawrence Yun, NAR’s chief economist, told the Journal.

The realtors’ group predicts the pace of existing home sales will continue to rise this year, perhaps by as much as 3 percent.

Sales of brand new homes are skyrocketing as well. In April, sales of new, single-family homes rose by nearly 17 percent from the previous month — the fastest pace of growth since January 2008. [WSJ]Cathaleen Chen


Related Articles

arrow_forward_ios
Invitation Homes CEO Dallas Tanner and PulteGroup Ryan Marshall (Invitation Homes, LinkedIn)
Invitation Homes eyes expansion with PulteGroup partnership
Invitation Homes eyes expansion with PulteGroup partnership
Buyers from neighboring countries made up the biggest percentage of foreign sales. (iStock)
Here’s where foreign homebuyers came from and bought during pandemic
Here’s where foreign homebuyers came from and bought during pandemic
Bidding wars occurred in 35 percent of North Fork home sales. (iStock)
Bidding wars drive Long Island home prices to new highs
Bidding wars drive Long Island home prices to new highs
Home sales rise in June, snapping four-month downward streak
Home sales rise in June, snapping four-month downward streak
Home sales rise in June, snapping four-month downward streak
High Tide Flooding Hit New Records In 2020
High tides are flooding coastal communities with record frequency
High tides are flooding coastal communities with record frequency
Inventory is down in Greenwich (Getty)
Half of Fairfield County home sales are above asking price
Half of Fairfield County home sales are above asking price
Hamptons homebuying slows for 4th straight month
Hamptons homebuying slows for 4th straight month
Hamptons homebuying slows for 4th straight month
National trends of low interest rates and shrinking inventory has led to record median home prices in Staten Island (iStock)
“Forgotten borough” no more: Staten Island homes are pricier than ever
“Forgotten borough” no more: Staten Island homes are pricier than ever
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...