Home sales reach highest level since beginning of recession

Rising mortgage rates, prices might put a damper on things

TRD New York /
Dec.December 21, 2016 02:45 PM
Home sales in November jumped to the highest levels seen since the beginning of the recession, but the flurry of activity could be tempered by rising mortgage rates and sale prices.

Sales of previously-owned homes in the U.S. rose 15.4 percent year-over-year last month to an annual rate of 5.6 million, the highest sales rate seen since 2007, according to a study by the National Association of Realtors (NAR).

At the same time, borrowing rates have soared since the Nov. 8 election. For 30-year fixed-rate mortgages, the average rate was 3.77 percent in November — up from 3.47 the previous month, the Wall Street Journal reported. The average rate has continued to climb in December, reaching 4.16 percent last week.

“We do expect some tapering off of home sales in 2017,” Lawrence Yun, the NAR’s chief economist, told the Journal.

Sales prices are also increasing as supply tightens. In November, the median sales price was $234,900, which was a 6.8 percent jump from the same time last year. [WSJ] — Kathryn Brenzel

Related Article


South Florida dodged a bullet with Hurricane Dorian. Here’s what that means for the resi market

Here’s how much it will cost you to sell your home on an iBuying site

Bringing some sunshine to South Florida’s opaque resi report outlook

Georgina Bloomberg and 101 Central Park West (Credit: Getty Images/StreetEasy/Wikipedia)

Georgina Bloomberg buys another co-op at 101 CPW

US home sales slide again in June as prices hit all-time high

The rise of the anonymous LLC: Tracing the history of the favorite property investment vehicle

Suburbs now make up 14 of the 15 fastest growing cities in America (Credit: iStock)

The trendiest place for young homeowners? It’s the suburbs

(Credit: iStock)

US existing home sales bounce back in May as spring buying season heats up: report