Global| Jan 22 2016U.S. Existing Home Sales Recover; 2015 Strongest Since 2006
by:Tom Moeller
|in:Economy in Brief
Summary
The National Association of Realtors reported that existing home sales jumped 14.7% during December (6.1% y/y) to 5.460 million (SAAR). The rise followed an unrevised 10.5% November decline that reflected new regulations which [...]
The National Association of Realtors reported that existing home sales jumped 14.7% during December (6.1% y/y) to 5.460 million (SAAR). The rise followed an unrevised 10.5% November decline that reflected new regulations which lengthened the home mortgage closing process, and thereby likely pushed some closings from November into December. Sales were stronger than the 5.12 million called for in the Action Economic Forecast Survey.
Median sales prices of existing homes rose to $224,100 in December, up 7.6% from one year earlier. The increase improved on a 3.7% y/y rise logged in June 2014. The average sales price rose 4.7% y/y.
The number of homes on the market declined 3.8% y/y. The month's supply of homes fell to 3.9, the lowest level since 2005, down from the 11.8 month high in July 2010.
In November, the composite index of housing affordability improved to 167.4, but that was down 2.6% y/y. It remained well below the January 2013 high of 214.5, suggesting that the median income family was less able to afford a median-priced existing home.
The data on existing home sales, prices and affordability can be found in Haver's USECON database. The regional price, affordability and inventory data are available in the REALTOR database. The expectations figure is from the Action Economics Forecast Survey, reported in the AS1REPNA database.
| Existing Home Sales (SAAR, 000s) | Dec | Nov | Oct | NSA, Y/Y % | 2015 | 2014 | 2013 |
|---|---|---|---|---|---|---|---|
| Total | 5,460 | 4,760 | 5,320 | 6.1 | 5,232 | 4,920 | 5,074 |
| Northeast | 750 | 690 | 760 | 9.4 | 686 | 640 | 658 |
| Midwest | 1,220 | 1,100 | 1,300 | 6.8 | 1,224 | 1,131 | 1,194 |
| South | 2,270 | 1,980 | 2,110 | 3.9 | 2,150 | 2,048 | 2,032 |
| West | 1,220 | 990 | 1,150 | 7.5 | 1,172 | 1,102 | 1,190 |
| Single-Family Sales | 4,820 | 4,150 | 4,720 | 5.7 | 4,625 | 4,334 | 4,473 |
| Median Price Total ($, NSA) | 224,100 | 220,000 | 219,100 | 7.6 | 219,942 | 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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