Sales were up in May of existing U.S. homes, the second month of increases in a row, and the first time a back-to-back monthly rise has been posted in almost four years. Sales climbed up by 2.4 percent to a seasonally adjusted annual rate of 4.77 million units, from a downwardly revised April total of 4.66 million. The new figure was down just 3.6 percent from the May 2008 sales pace of 4.95 million homes.
The national median price for existing homes rose in May to $173,000 from $166,600 in April, but fell 16.8 percent from a year earlier when the price was $209,700.
The NAR defines existing homes as all previously-owned single-family homes, townhouses, condominiums, and co-ops. The group “seasonally adjusts” the sales numbers to factor in things like inclement weather, school sessions, winter holidays, etc to smooth out the trends. The NAR also describes its sales data based on an annual pace. The monthly figure represents the total number of housing units that would be sold in one year if the current rate were to continue unchanged.
Sales Pace by Region
Sales were quite varied by region in May. The Midwest saw a large monthly uptick in sales with a 9.0 percent increase to 1.09 million units, but sales were still down there 4.4 percent from May 2008.
Sales also rose in the Northeast by 3.9 percent over April to 800,000 homes, but fell 10.1 percent in a year-over-year comparison.
The South saw no change in its sales from April to May with 1.74 million units, but the figure was still down 8.9 percent from one year previous.
The West was the only region to post a decline in monthly sales as they slipped 0.9 percent to 1.14 million units, but it was the only area to see a yearly gain, with an 11.8 percent increase.
Home Prices
The median home price, the point at which half of all homes are sold for more and half are sold for less, rose in May from April led by gains in all regions but the West. The West experienced a decrease in sales price to $197,700 from $204,200, and was also down 30.6 percent from one year ago.
The median price rose in the South to $157,400 in May, up from $147,900, but the price was down 9.9 percent from the year before.
In the Midwest, the median price grew to $145,800 from $138,800 in April, and was 10.4 percent below the price from May 2008.
The Northeast saw home prices pick up to $243,600 in May from $237,400, but it also had the largest yearly percentage decrease with 12.5 percent.
Inventory
The number of homes from sale in May drained to 3.798 million, a 3.5 percent decrease from 3.94 million in April, and at the current sales price the total inventory represented a 9.6-month supply, down from a 10.1-month supply the month before.
Article source:http://www.realestateabc.com
