A recent report from the National Association of Realtors has shown slight variances in existing home sales across the country. For the four major U.S. regions statistics showed a combination of no change as well as slight increases and decreases with the sales pace. Overall the pace from the month before in March had marginally decreased in total numbers countrywide.
Lawrence Yun, NAR’s chief economist, said he is not too concerned about the 0.4% dip in sales and expects moderate growth very soon. “First, we are seeing historically low mortgage rates combined with a pent-up demand to buy, so buyers will look to take advantage of these conditions,” he said. “Also, job creation is improving, causing wage growth to align with home price growth, which helps affordability and will help spur more home sales.”
Median prices for all property types was up by 3.6% this April over last year. This marked the 86th month in a row for price increases.
Housing inventory levels are also up 1.7% over the same time from a year ago. Unsold inventory has increased to a 4.2 months supply this April which is up from 4.0 months in April of 2018.
“We see that the inventory totals have steadily improved, and will provide more choices for those looking to buy a home,” Yun said. He notes that sellers have to realize that price growth has moderated. “When placing their home on the market, home sellers need to be very realistic and aware of the current conditions.”
Time on Market
Homes remained on the market for an average of 24 days for the month of April. This is significantly down from 36 days in March and also down from 26 days in April of last year. Fifty three percent of the properties that sold in April were on the market for less than 30 days.