My Real Estate Blog

Existing home sales nationwide rose in August

Existing-home sales nationwide rose 7.6 percent in August to a seasonally adjusted annual rate of 4.13 million units compared with 3.84 million units in July, according to NAR’s latest housing report.  Home sales remain 19 percent below the 5.10 million-unit pace recorded in August 2009.

“The housing market is trying to recover on its own power without the home buyer tax credit,” said NAR Chief Economist Lawrence Yun.  “Despite very attractive affordability conditions, a housing market recovery will likely be slow and gradual because of lingering economic uncertainty.”

Yun added, “Home values have shown stabilizing trends over the past year, even as the economy shed millions of jobs, because of the home buyer tax credit stimulus. Now that the economy is adding some jobs, the housing market needs to steadily improve and eventually stand on its own.”

The national median price for existing homes was $178,600 in August, an increase of 0.8 percent from a year ago. Distressed homes rose to 34 percent of sales in August from 32 percent in July and 31 percent in August 2009.

Regionally, existing-home sales in the West increased 13.8 percent to an annual pace of 990,000 units in August but were 16.1 percent lower than August 2009. The median price in the West was $214,700, a 2.5 percent decline from a year ago.

Reprinted From C.A.R.