Home Sales are on the Rise as Affordability Improves
Home sales are experiencing a resurgence as housing affordability improves. This positive trend is evident in the residential real estate market, particularly in mortgage and home financing. The improvement in housing affordability has made homes more accessible to a wider range of buyers, leading to a surge in home sales.
This uptick in sales is a testament to the positive impact of improved housing affordability on the real estate market. As housing affordability improves, home sales are expected to remain strong in the coming months. Last month, existing-home sales rose slightly. This is attributed to lower mortgage rates and slower price increases, which have improved the buying position for buyers this spring. [Source: NAR]
Read more from NAR’s latest housing report.
National Market Recap for Existing Home Sales in February
Sales in the Northeast declined by 6% compared to January, reaching an annual rate of 470,000. Year-over-year, sales fell by 4.1%, with the median price at $479,800, a 3.3% increase from the previous year.
In contrast, sales in the Midwest rose by 1.1% month-over-month, resulting in an annual rate of 940,000. However, sales decreased by 4.1% compared to the previous year. The median price stood at $302,100, a 2.3% increase from the previous year.
The South experienced a sales increase of 1.6% in February compared to January, settling in at an annual rate of 1.89 million. Sales rose slightly by 0.5% year over year, with the median price at $356,800, a 0.2% increase from the previous year.
In the West, existing-home sales surged by 8.2% in February compared to January, reaching an annual rate of 790,000. Despite this surge, sales decreased by 1.3% year over year. The median price stood at $603,100, a 1.9% decrease from the previous year.
[Source: NAR] Housing Report
