EXISTING HOMES SALES JUMPED 4.4% IN MARCH

WASHINGTON (April 21, 2017) — Existing-home sales took off in March to their highest pace in over 10 years, and severe supply shortages resulted in the typical home coming off the market significantly faster than in February and a year ago, according to the National Association of Realtors®. Only the West saw a decline in sales activity in March.

Total existing-home sales 1, https://www.nar.realtor/topics/existing-home-sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, ascended 4.4 percent to a seasonally adjusted annual rate of 5.71 million in March from a downwardly revised 5.47 million in February. March’s sales pace is 5.9 percent above a year ago and surpasses January as the strongest month of sales since February 2007 (5.79 million).

Lawrence Yun, NAR chief economist, says existing sales roared back in March and were led by hefty gains in the Northeast and Midwest. “The early returns so far this spring buying season look very promising as a rising number of households dipped their toes into the market and were successfully able to close on a home last month,” he said. “Although finding available properties to buy continues to be a strenuous task for many buyers, there was enough of a monthly increase in listings in March for sales to muster a strong gain. Sales will go up as long as inventory does.”

The median existing-home price 2 for all housing types in March was $236,400, up 6.8 percent from March 2016 ($221,400). March’s price increase marks the 61st consecutive month of year-over-year gains.

Total housing inventory 3 at the end of March increased 5.8 percent to 1.83 million existing homes available for sale, but is still 6.6 percent lower than a year ago (1.96 million) and has fallen year-over-year for 22 straight months. Unsold inventory is at a 3.8-month supply at the current sales pace (unchanged from February).

Added Yun, “Bolstered by strong consumer confidence and underlying demand, home sales are up convincingly from a year ago nationally and in all four major regions despite the fact that buying a home has gotten more expensive over the past year.”

Properties typically stayed on the market for 34 days in March, which is down significantly from 45 days in February and 47 days a year ago. Short sales were on the market the longest at a median of 90 days in March, while foreclosures sold in 52 days and non-distressed homes took 32 days (shortest since NAR began tracking in May 2011). Forty-eight percent of homes sold in March were on the market for less than a month.

Inventory data from realtor.com® reveals that the metropolitan statistical areas where listings stayed on the market the shortest amount of time in March were San Jose-Sunnyvale-Santa Clara, Calif., 24 days; San Francisco-Oakland-Hayward, Calif., 25 days; Seattle-Tacoma-Bellevue, Wash., and Denver-Aurora-Lakewood, Colo., both at 28 days; and Vallejo-Fairfield, Calif., 31 days.

“Last month’s swift price gains and the remarkably short time a home was on the market are directly the result of the homebuilding industry’s struggle to meet the dire need for more new homes,” said Yun. “A growing pool of all types of buyers is competing for the lackluster amount of existing homes on the market. Until we see significant and sustained multi-month increases in housing starts, prices will continue to far outpace incomes and put pressure on those trying to buy.”

According to Freddie Mac, the average commitment rate(link is external) for a 30-year, conventional, fixed-rate mortgage rose for the fifth straight month in March to 4.20 percent from 4.17 percent in February. The average commitment rate for all of 2016 was 3.65 percent.

First-time buyers were 32 percent of sales in March, which is unchanged from February and up from 30 percent a year ago. NAR’s 2016 Profile of Home Buyers and Sellersreleased in late 2016 4 – revealed that the annual share of first-time buyers was 35 percent.

NAR President William E. Brown, a Realtor® from Alamo, California, says patience is a virtue for prospective first-time buyers this spring. “Realtors® in most markets are saying interest from first-timers is up this year, but competition is stiff for listings in their price range,” he said. “The best advice is to lean on the guidance of a Realtor® throughout the home search and be careful about stretching the budget too far. Don’t get frustrated by losing out on a home and know the right one will eventually come along in due time.”

All-cash sales were 23 percent of transactions in March, down from 27 percent in February and 25 percent a year ago. Individual investors, who account for many cash sales, purchased 15 percent of homes in March, down from 17 percent in February but up from 14 percent a year ago. Sixty-three percent of investors paid in cash in March.

Distressed sales 5 – foreclosures and short sales – were 6 percent of sales in March, down from 7 percent in February and 8 percent a year ago. Five percent of March sales were foreclosures and 1 percent were short sales. Foreclosures sold for an average discount of 16 percent below market value in March (18 percent in February), while short sales were discounted 14 percent (17 percent in February).

Single-family and Condo/Co-op Sales

Single-family home sales climbed 4.3 percent to a seasonally adjusted annual rate of 5.08 million in March from 4.87 million in February, and are now 6.1 percent above the 4.79 million pace a year ago. The median existing single-family home price was $237,800 in March, up 6.6 percent from March 2016.

Existing condominium and co-op sales increased 5.0 percent to a seasonally adjusted annual rate of 630,000 units in March, and are now 5.0 percent higher than a year ago. The median existing condo price was $224,700 in March, which is 8.0 percent above a year ago.

March existing-home sales in the Northeast surged 10.1 percent to an annual rate of 760,000, and are now 4.1 percent above a year ago. The median price in the Northeast was $260,800, which is 2.8 percent above March 2016.

In the Midwest, existing-home sales jumped 9.2 percent to an annual rate of 1.31 million in March, and are now 3.1 percent above a year ago. The median price in the Midwest was $183,000, up 6.2 percent from a year ago.

Existing-home sales in the South in March rose 3.4 percent to an annual rate of 2.42 million, and are now 8.5 percent above March 2016. The median price in the South was $210,600, up 8.6 percent from a year ago.

Existing-home sales in the West decreased 1.6 percent to an annual rate of 1.22 million in March, but are still 5.2 percent above a year ago. The median price in the West was $347,500, up 8.0 percent from March 2016.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

Source: https://www.nar.realtor/news-releases/2017/04/existing-home-sales-jumped-44-in-march

  • Redondo Beach Real Estate for sale and rent

REDONDO BEACH REAL ESTATE FOR SALE

February 12th, 2017|Comments Off on REDONDO BEACH REAL ESTATE FOR SALE

Homes, condos and land for sale and rent in Redondo Beach, CA Redondo Beach is one of the three Beach [...]

  • Hermosa Beach Real Estate for sale and rent

HERMOSA BEACH REAL ESTATE FOR SALE & FOR RENT

February 12th, 2017|Comments Off on HERMOSA BEACH REAL ESTATE FOR SALE & FOR RENT

Homes, condos and land for sale and rent in Hermosa Beach, CA Hermosa Beach is a beachfront city in Los [...]

  • Manhattan Beach Real Estate for sale and rent

MANHATTAN BEACH REAL ESTATE FOR SALE & RENT

February 12th, 2017|Comments Off on MANHATTAN BEACH REAL ESTATE FOR SALE & RENT

Homes, condos and land for sale and rent in Manhattan Beach, CA Manhattan Beach is a city in southwestern Los [...]

  • Lomita Real Estate for sale and rent

LOMITA REAL ESTATE FOR SALE & RENT

February 12th, 2017|Comments Off on LOMITA REAL ESTATE FOR SALE & RENT

Homes, condos and land for sale and rent in Lomita, CA Lomita is a city in Los Angeles County, California, [...]

  • Homes and Condos for sale in Los Angeles, CA

Homes and Condos for sale in Los Angeles, CA

December 27th, 2016|0 Comments

Homes, condos and land for sale and rent in Los Angeles, CA Bel Air Brentwood Cheviot Hills Del Rey Downtown Hollywood Mid-City Mid-Wilshire Pacific [...]

  • Homes for sale in Beverly Hills, CA

Homes for sale in Beverly Hills, CA

December 27th, 2016|0 Comments

Homes, condos and land for sale and rent in Beverly Hills, CA Beverly Hills is a city in Los Angeles [...]

  • Homes for sale in Malibu, CA

Homes for sale in Malibu, CA

December 27th, 2016|0 Comments

Homes, condos and land for sale and rent in Malibu, CA Malibu is a beach city in Los Angeles County, [...]

  • Homes for sale in Santa Monica, CA

Homes for sale in Santa Monica, CA

December 27th, 2016|0 Comments

Homes, condos and land for sale and rent in Santa Monica, CA Santa Monica is a beachfront city in western [...]

  • Long Beach Real Estate for sale and rent

Long Beach Real Estate for sale and rent

December 27th, 2016|Comments Off on Long Beach Real Estate for sale and rent

Homes, condos and land for sale and rent in Long Beach, CA Long Beach is the 36th most populous city [...]

  • Palmdale Real Estate for sale and rent

Palmdale Real Estate for sale and rent

December 27th, 2016|Comments Off on Palmdale Real Estate for sale and rent

Homes, condos and land for sale and rent in Palmdale, CA Palmdale is a city in the center of northern [...]

  • Lancaster Real Estate for sale and rent

Lancaster Real Estate for sale and rent

December 27th, 2016|Comments Off on Lancaster Real Estate for sale and rent

Homes, condos and land for sale and rent in Lancaster, CA Lancaster is a charter city in northern Los Angeles [...]

  • Pasadena Real Estate for sale and rent

Pasadena Real Estate for sale and rent

December 27th, 2016|Comments Off on Pasadena Real Estate for sale and rent

Homes, condos and land for sale and rent in Pasadena, CA Pasadena is a city in Los Angeles County, California, [...]

  • Whittier Real Estate for sale and rent

Whittier Real Estate for sale and rent

December 27th, 2016|Comments Off on Whittier Real Estate for sale and rent

Homes, condos and land for sale and rent in Whittier, CA Whittier is a city in Southern California located within [...]

  • Arcadia Real Estate for sale and rent

Arcadia Real Estate for sale and rent

December 27th, 2016|Comments Off on Arcadia Real Estate for sale and rent

Homes, condos and land for sale and rent in Arcadia, CA Arcadia is a city in Los Angeles County, California, [...]

  • Glendale Real Estate for sale and rent

Glendale Real Estate for sale and rent

December 27th, 2016|Comments Off on Glendale Real Estate for sale and rent

Homes, condos and land for sale and rent in Glendale, CA Glendale is a city in Los Angeles County, California, [...]

  • Sherman Oaks Real Estate for sale and rent

Sherman Oaks Real Estate for sale and rent

December 27th, 2016|Comments Off on Sherman Oaks Real Estate for sale and rent

Homes, condos and land for sale and rent in Sherman Oaks, CA Sherman Oaks is a neighborhood in the San [...]

  • Pomona Real Estate for sale and rent

Pomona Real Estate for sale and rent

December 27th, 2016|Comments Off on Pomona Real Estate for sale and rent

Homes, condos and land for sale and rent in Pomona, CA Pomona is a city in Los Angeles County, California, [...]

  • West Covina Real Estate for sale and rent

West Covina Real Estate for sale and rent

December 27th, 2016|Comments Off on West Covina Real Estate for sale and rent

Homes, condos and land for sale and rent in West Covina, CA West Covina is a city in Los Angeles [...]

  • Diamond Bar Real Estate for sale and rent

Diamond Bar Real Estate for sale and rent

December 27th, 2016|Comments Off on Diamond Bar Real Estate for sale and rent

Homes, condos and land for sale and rent in Diamond Bar, CA Diamond Bar is a city in eastern Los [...]

  • Downey Real Estate for sale and rent

Downey Real Estate for sale and rent

December 27th, 2016|Comments Off on Downey Real Estate for sale and rent

Homes, condos and land for sale and rent in Downey, CA Downey is a city located in southeast Los Angeles [...]

  • Woodland Hills Real Estate for sale and rent

Woodland Hills Real Estate for sale and rent

December 27th, 2016|Comments Off on Woodland Hills Real Estate for sale and rent

Homes, condos and land for sale and rent in Woodland Hills, CA Woodland Hills is a neighborhood bordering the Santa [...]

  • Encino Real Estate for sale and rent

Encino Real Estate for sale and rent

December 27th, 2016|Comments Off on Encino Real Estate for sale and rent

Homes, condos and land for sale and rent in Encino, CA Encino is a neighborhood in the San Fernando Valley [...]

  • Canyon Country Real Estate for sale and rent

Canyon Country Real Estate for sale and rent

December 27th, 2016|Comments Off on Canyon Country Real Estate for sale and rent

Homes, condos and land for sale and rent in Canyon Country, CA Canyon Country is a community and district within [...]

  • Northridge Real Estate for sale and rent

Northridge Real Estate for sale and rent

December 27th, 2016|Comments Off on Northridge Real Estate for sale and rent

Homes, condos and land for sale and rent in Northridge, CA Northridge is a neighborhood of Los Angeles, California in [...]

  • Valencia Real Estate for sale and rent

Valencia Real Estate for sale and rent

December 27th, 2016|Comments Off on Valencia Real Estate for sale and rent

Homes, condos and land for sale and rent in Valencia, CA Valencia is a neighborhood in Santa Clarita located within [...]

By | 2017-05-06T21:18:58-07:00 May 6th, 2017|