Global| Mar 20 2020U.S. Existing Home Sales Reach 2007 High with Increased Prices in February
by:Tom Moeller
|in:Economy in Brief
Summary
The National Association of Realtors (NAR) reported that sales of existing homes during February jumped 6.5% (7.2% y/y) to 5.770 million (AR) from 5.420 million in January, revised from 5.460 million. It was the highest level of sales [...]
The National Association of Realtors (NAR) reported that sales of existing homes during February jumped 6.5% (7.2% y/y) to 5.770 million (AR) from 5.420 million in January, revised from 5.460 million. It was the highest level of sales since February 2007. The Action Economics Forecast Survey expected February sales of 5.52 million.
The median price of all existing homes sold increased 1.5% (8.0% y/y) to $270,100 following a 3.0% January decline. The average sales price improved 1.0% last month (6.0% y/y) to $305,800. These price data are not seasonally adjusted.
Existing home sales were mixed around the country in February. The increase in sales overall was paced by an 18.9% surge (11.5% y/y) in the West to 1.260 million, the highest level since February 2007. Sales in the South rose 7.2% (8.2% y/y) to 2.520 million, the highest level since October 2006, while sales in the Midwest edged 0.8% up (4.0% y/y). Sales in the Northeast declined, however, by 4.1% (+2.9% y/y) to 700,000, the lowest level in three months.
Sales of existing single-family homes strengthened 7.3% both m/m and y/y to 5.170 million units after falling 1.8% in January. Sales of condos and co-ops held steady (7.1% y/y) at 600,000 units.
The number of homes on the market decreased 9.8% y/y and roughly equaled the record low. The month's supply of homes on the market remained at 3.1 versus 3.6 one year earlier and roughly equaled the record low. These inventory figures date back to 1999.
The data on existing home sales, prices and affordability are compiled by the National Association of Realtors and can be found in Haver's USECON database. The regional price, affordability and inventory data are available in the REALTOR database. The expectations figure is from the Action Economics Forecast Survey, reported in the AS1REPNA database.
| Existing Home Sales (SAAR, 000s) | Feb | Jan | Dec | Feb Y/Y % | 2019 | 2018 | 2017 |
|---|---|---|---|---|---|---|---|
| Total Sales | 5,770 | 5,420 | 5,530 | 7.2 | 5,330 | 5,341 | 5,531 |
| Northeast | 700 | 730 | 730 | 2.9 | 687 | 689 | 735 |
| Midwest | 1,290 | 1,280 | 1,260 | 4.0 | 1,248 | 1,265 | 1,301 |
| South | 2,520 | 2,350 | 2,370 | 8.2 | 2,281 | 2,246 | 2,270 |
| West | 1,260 | 1,060 | 1,170 | 11.5 | 1,115 | 1,141 | 1,225 |
| Single-Family Sales | 5,170 | 4,820 | 4,910 | 7.3 | 4,754 | 4,742 | 4,907 |
| Median Price Total ($, NSA) | 270,100 | 266,200 | 274,500 | 8.0 | 269,783 | 257,267 | 245,950 |
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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