Global| Mar 21 2016U.S. Existing Home Sales and Prices Decline
by:Tom Moeller
|in:Economy in Brief
Summary
The National Association of Realtors reported that existing home sales declined 7.1% to 5.080 million (SAAR, +2.2% y/y) from an unrevised 5.470 million in January. It was the lowest level of sales in three months. Sales of 5.36 [...]
The National Association of Realtors reported that existing home sales declined 7.1% to 5.080 million (SAAR, +2.2% y/y) from an unrevised 5.470 million in January. It was the lowest level of sales in three months. Sales of 5.36 million had been expected in the Action Economics Forecast Survey. Purchases of single-family homes declined 7.2% (+2.0% y/y) to 4.510 million.
A 17.1% decline (+5.0% y/y) to 630,000 in the Northeast led the decline in overall sales. It was followed by a 3.8% decline in the Midwest to 1.120 million, which remained unchanged y/y. In the West, sales declined 3.4% (+0.9% y/y) to 1.130 million, and in the South sales were off 1.8% (+3.3% y/y) to 2.200 million.
The inventory of unsold homes rose 3.3% (-1.1% y/y). The sales supply inched up to 4.4 months, though it remained near the recovery low.
The median price for an existing home declined 1.4% (NSA, +4.4%y/y) to $210,800 following a 4.3% January shortfall. For an existing single-family home, prices fell 1.2% (+4.3% y/y) to $212,300. The composite index of home affordability increased 5.2% (-6.5% y/y), and remained up 10.7% from its July low.
The data on existing home sales, prices and affordability can be found in Haver's USECON database. The regional price, affordability and inventory data are available in the REALTOR database. The expectations figure is from the Action Economics Forecast Survey, reported in the AS1REPNA database.
| Existing Home Sales (SAAR, 000s) | Feb | Jan | Dec | Y/Y % | 2015 | 2014 | 2013 |
|---|---|---|---|---|---|---|---|
| Total | 5,080 | 5,470 | 5,450 | 2.2 | 5,254 | 4,935 | 5,087 |
| Northeast | 630 | 760 | 740 | 5.0 | 691 | 645 | 658 |
| Midwest | 1,120 | 1,300 | 1,250 | 0.0 | 1,224 | 1,131 | 1,194 |
| South | 2,200 | 2,240 | 2,240 | 3.3 | 2,151 | 2,051 | 2,040 |
| West | 1,130 | 1,170 | 1,220 | 0.9 | 1,172 | 1,103 | 1,188 |
| Single-Family Sales | 4,510 | 4,860 | 4,810 | 2.0 | 4,626 | 4,344 | 4,484 |
| Median Price Total ($, NSA) | 210,800 | 213,700 | 223,200 | 4.4 | 219,867 | 206,708 | 195,667 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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