Fannie Mae Report: Home Sales on the Rise – Santa Monica Real Estate
Low mortgage rates and home prices continue to offer high affordability for homebuyers and has led to an increase of existing-home sales. The National Association of Realtors reports that existing-home sales rose during the month of December, marking the third consecutive month of gains.The most recent report shows that sales increased by 5 percent from the previous month to a seasonally adjusted annual rate of 4.61 million in December, up from 4.39 from the previous month. The rate is also 3.6 percent higher than the pace of 4.45 million sales in December 2010. In 2011, the overall amount of existing-home sales increased by 1.17 percent to 4.26 million from 4.19 million in 2010.”The pattern of home sales in recent months demonstrates a market in recovery,” said Lawrence Yun, chief economist of NAR. “Record low mortgage interest rates, job growth and bargain home prices are giving more consumers the confidence they need to enter the market.”
The increase in sales has held down the housing inventory that accumulated during the housing market slump and shows signs of a slowly recovering industry.