Number Of Home Sales See 7% Increase

Fall home sales see a rise

The number of existing home sales has shown an increase according to a recent report released by the National Association of Realtors (NAR).  Each of the four major regions in the United States have seen increases on a monthly basis.  The total number of existing home sales including completed transactions of single family homes, townhomes, condos and co-ops had risen by 7% in September from the month before. While home sales increased as the fall market had arrived they were marginally down by 2.3% from last year at this time. 

"Some improvement in supply during prior months helped nudge up sales in September," said Lawrence Yun, NAR's chief economist. "Housing demand remains strong as buyers likely want to secure a home before mortgage rates increase even further next year."

Number of Available Homes

By the end of the month of September the total inventory of homes available for sale was down by 0.8% from the month before and also down by 13% from this time last year. Available housing inventory hovers at a 2.4 month supply at the current sales pace which is lower than the 2.7 months seen in September of 2020.

"As mortgage forbearance programs end, and as homebuilders ramp up production – despite the supply-chain material issues – we are likely to see more homes on the market as soon as 2022," said Yun.

Average Home Prices

The median existing home price in September for all kinds of properties had increased by over 13% from this time last year. Each of the 4 regions of the country experienced gains making for the 115th consecutive month for year-over-year increases. 

Average Days on Market

Homes were active on the market for the same number of days in September as August at just 17 days. This was fewer than the 21 days seen in September of last year. More than three quarters of the homes sold in September were on the market for less than one month.

Mortgage Rates

The commitment rate for a 30 year fixed rate mortgage had averaged 2.90% in September according to Freddie Mac. This was a little bit higher than August at 2.84% and lower than the average for all of 2020 at 3.11%.