Home Sales Are Up Over 2019 for the Start of 2020

A recent report has been issued by the National Association of Realtors (NAR) sharing that home sales at the start of the year were relatively steady overall in most regions with only notable declines seen in the West. The total number of home sales of townhomes, single-families, condos and coops had decreased by just 1% overall from the previous month due to the slipping sales in the West, but the total number of sales are significantly up by 9.6% over this time last year. 

Lawrence Yun, NAR’s chief economist, finds the outlook for 2020 home sales promising despite the drop in January. “Existing-home sales are off to a strong start at 5.46 million.” Yun said. “The trend line for housing starts is increasing and showing steady improvement, which should ultimately lead to more home sales.”

Housing prices

Home prices have not ceased their increases with January being the 95th consecutive month of increases. The median home price has increased in all major regions across the country and is up by 6.8% over January of 2019.

Inventory Level

Housing inventory is at its lowest level since twenty years ago in 1999. Levels were down by 10.7% from last year at this time with unsold inventory only being at a 3.1 month supply at the current sales pace.

Number of Days on Market

Properties were on the market for an average of 43 days during this January. This was an increase from 41 days in December, but down from the 49 days seen in January of 2019. Forty two percent of properties that were sold in January were on the market for less than one month.

Mortgage Rates

The average mortgage rates were lower than last year at the same time. This January the average commitment rate for a 30 year loan per Freddie Mac was 3.62%. Last year this figure was 4.46%.