U.S. Existing Homes Sales Surge in November
by:Tom Moeller
|in:Economy in Brief
Summary
- Sales rise to highest level since March.
- Monthly sales rise in three of four regions of the country.
- Median price edges lower.
Sales of existing homes increased 4.8% (6.1% y/y) to 4.15 million (SAAR) during November from an unrevised 3.96 million in October. The gain followed a 3.4% October rise and a 1.3% September decline. The rise accompanied an increase in the effective 30-year mortgage interest rate to an average 6.81% from 6.43% in October. The Action Economics Forecast Survey expected November sales of 4.09 million units. The sales figures are based on closings of sales signed over the past couple of months.
The median price of all existing homes (NSA) eased 0.2% (+4.7% y/y) in November to $406,100 from 406,800 in October, revised from $407,200. Prices remained below the 426,900 high this past June. The median price of an existing single-family home slipped 0.2% (+4.8% y/y) to $410,900 in November from $411,700 in October. The median price of condos and co-ops slipped 0.1% (+2.8% y/y) to $359,800 in November from $360,300 in October.
Sales of existing homes rose 8.5% (6.3% y/y) to 510,000 in the Northeast after a 2.2% October gain. Sales in the Midwest jumped 5.3% both m/m and y/y to 1.00 million after a 6.7% October increase. Sales in the South gained 5.6% (3.3% y/y) to 1.87 million after a 2.9% October gain. Holding steady at 770,000 (+14.9% y/y) were sales in the West, following a 1.3% October increase.
The number of existing homes for sale (NSA) fell 2.9% (+17.7% y/y) to 1.33 million after a 0.7% October increase. The supply of homes on the market at the current selling rate (NSA) fell to 3.8 months from 4.2 months in October. This figure has generally risen since February. The record low in supply of 1.6 months was reached in January 2022. These figures date back to January 1999.
The data on existing home sales, prices and affordability are compiled by the National Association of Realtors. The data on single-family home sales extend back to February 1968. Total sales and price data and regional sales can be found in Haver's USECON database. Regional price and affordability data and national inventory data are available in the REALTOR database. Mortgage interest rates can be found in the WEEKLY database. The expectations figure is from the Action Economics Forecast Survey, reported in the AS1REPNA database.
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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