Global| Apr 21 2017U.S. Existing Home Sales Strengthen to Ten-Year High
by:Tom Moeller
|in:Economy in Brief
Summary
Sales of existing single-family homes increased 4.4% during March to 5.710 million units (AR) and reversed a 3.9% February decline to 5.470 million, revised from 5.480 million. The latest level of sales was the highest since February [...]
Sales of existing single-family homes increased 4.4% during March to 5.710 million units (AR) and reversed a 3.9% February decline to 5.470 million, revised from 5.480 million. The latest level of sales was the highest since February 2007. Expectations had been for 5.550 million purchases in the Action Economics Forecast Survey. Sales of existing single-family homes rebounded 4.3% (6.1% y/y) to 5.0800 million units, also a ten-year high. Sales of condos & co-ops rose 5.0% both m/m and y/y to 630,000 following a 7.7% decline. The figures are reported by the National Association of Realtors.
The median price of all previously owned homes increased 3.6% (6.8% y/y) to $236,400. The rise was to the highest level since August. The average price of an existing home jumped 3.3% to $278,500 (5.3% y/y).
The number of homes on the market declined 6.6% y/y to 1.830 million. The months' sales supply of homes held steady m/m at 3.8, but remained near the lowest level since January 2005.
The rebound in home sales last month reflected a 10.1% increase (4.1% y/y) in the Northeast to 760,000 after a 13.7% decline. Sales in the Midwest rebounded 9.2% (3.1% y/y) to 1.310 million after three months of decline. In the South, sales improved 3.4% (8.5% y/y) to 2.420 million, the highest level since December 2006. Sales in the West eased 1.6% (+5.2% y/y) to 1.220 million following a 3.9% drop.
The data on existing home sales, prices and affordability can be found in Haver's USECON database. The regional price, affordability and inventory data are available in the REALTOR database. The expectations figure is from the Action Economics Forecast Survey, reported in the AS1REPNA database.
Brief Remarks by Federal Reserve Governor Jerome H. Powell can be found here.
| Existing Home Sales (SAAR, 000s) | Mar | Feb | Jan | Y/Y % | 2016 | 2015 | 2014 |
|---|---|---|---|---|---|---|---|
| Total | 5,710 | 5,470 | 5,690 | 5.9 | 5,452 | 5,254 | 4,935 |
| Northeast | 760 | 690 | 800 | 4.1 | 733 | 691 | 645 |
| Midwest | 1,310 | 1,200 | 1,290 | 3.1 | 1,304 | 1,240 | 1,136 |
| South | 2,420 | 2,340 | 2,310 | 8.5 | 2,218 | 2,151 | 2,051 |
| West | 1,220 | 1,240 | 1,290 | 5.2 | 1,197 | 1,172 | 1,103 |
| Single-Family | 5,080 | 4,870 | 5,040 | 6.1 | 4,838 | 4,646 | 4,344 |
| Median Price Total ($, NSA) | 236,400 | 228,200 | 227,300 | 6.8 | 232,067 | 219,867 | 206,708 |
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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