Home Sales Show 7% Increase

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. 

Total existing home sales including completed sold transactions of single family homes, townhomes, condos and co-ops had risen by 7% in the month of September from the month before. Despite home sales having increased as the fall market had hit they were slightly 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."

Housing Inventory

By September’s close the total inventory of homes available for sale was down by 0.8% from the month before and also down by 13% from the same time last year. Available inventory hovers at a 2.4 month supply at the current sales pace which is lower than the 2.7 months experienced 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.

Housing Prices

The median existing home price for the month of September for each type of property had risen by over 13% from this time last year. All four regions of the country experienced surges making for the 115th consecutive month for year-over-year increases. 

Number of Days on Market

Properties were available on the market for the same number of days in September as August at just 17 days. This was a decrease from 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 30 days.

Loan Rates

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