The sale of existing home will depart in January due to affordability challenges
“The mortgage interest rate has refused to indicate several months, despite several rounds of short -term interest rate cuts by the Federal Reserve,“Said Yun in a statement. “In combination with increased house prices, the affordability of homes remains a major challenge.”
The illustration of some of these obstacles is the annual increase of 4.8% registered in the median selling price, which rose to $ 396,900 in January.
Now that the turnover delayed in January, the inventory of unsold existing houses had the opportunity to rise slightly, which increased 3.5% month after month to 1.18 million units. Every year this is a bump in stock of 16.8%. The stock level represents 3.5 months delivery at the current sales pace.
“With more housing stock, highly qualified buyers can enter the market,” Yun added. “But for many consumers, both increased inventory and lower mortgage interest are needed to buy another house or to become first homeowners.”
Houses reflected the increase in the inventory and usually stayed on the market for 41 days in January, an increase of 35 days in December and 36 days a year ago.
The share in the sale of cash in January increased a percentage point from one percentage point to 29%, but this is a decrease of 32% in January 2024. In the meantime, the share of ailing turnover, forces and short sale remained almost unchanged from both one month and One and one year ago at 3%.
Regionally, the turnover of the existing home decreased monthly in the northeast (by 5.7% falls to an annual percentage of 500,000 houses), the south (6.2% fall to a pace of 1.83 million houses) and the West (the West ( A decrease of 7.4% to a pace of 750,000 houses).
The midwest remained stable month after month with an annual rate of 1.3 million turnover. Year after year, the sale of existing at home in the northeast (+4.2%), Midwest (+5.3%) and West (+1.4%) was while staying flat in the south.
