(Image by Sotheby’s International Realty)
According to the National Association of Realtors®, existing-home sales increased in June to their highest pace in over eight years, while the cumulative effect of rising demand and limited supply helped push the national median sales price to an all-time high.
The report expands that total existing-home sales1, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, increased 3.2 percent to a seasonally adjusted annual rate of 5.49 million in June from a downwardly revised 5.32 million in May. Sales are now at their highest pace since February 2007 (5.79 million), have increased year-over-year for nine consecutive months and are 9.6 percent above a year ago (5.01 million). All major regions experienced sales gains in June and have now risen above year-over-year levels for six consecutive months.
Lawrence Yun, NAR chief economist, says backed by June’s solid gain in closings, this year’s spring buying season has been the strongest since the downturn. “Buyers have come back in force, leading to the strongest past two months in sales since early 2007,” he said. “This wave of demand is being fueled by a year-plus of steady job growth and an improving economy that’s giving more households the financial wherewithal and incentive to buy.”Read the full report.
Also Building permits rose 7.4 percent in June to a seasonally adjusted annual rate of 1,343,000, according to the U.S. Census Bureau and the Dept. of Housing and Urban Development. The June rate was 30 percent above the June 2014 estimate of 1,033,000.
Permits for single-family homes increased 0.9 percent to a rate of 687,000 compared with the revised May figure of 681,000.
Privately owned housing starts rose 9.8 percent in June to a seasonally adjusted annual rate of 1,174,000 compared with the revised May estimate of 1,069,000 and is 26.6 percent above the June 2014 rate of 927,000. More info
FAST FACTS
Calif. median home price: May 2015:
- California: $485,830
- Calif. highest median home price by region/county May 2015: San Francisco, $1,375,000
- Calif. lowest median home price by region/county May 2015: Glenn, $175,000
Calif. Pending Home Sales Index:
May 2015: Decreased 4.6 percent from a revised 129.6 in April to 123.6
Calif. Traditional Housing Affordability Index: First Quarter 2015: 34 percent (Source: C.A.R.)
Mortgage rates: Week ending 7/9/2015 (Source: Freddie Mac)
• 30-yr. fixed: 4.04% fees/points: 0.6%
• 15-yr. fixed: 3.20% fees/points: 0.5%
• 1-yr. adjustable: 2.50% Fees/points: 0.3%