The US housing market is expected to slow further in the coming years. In addition, the national median of existing home prices will rise by a modest 2.3% over the next couple of years, based on the reports of the National Association of Realtors. Construction activity picked up last month as lower mortgage rates boosted improved sentiment among homebuilders. The number of authorized building permits for new housing units took 12% in October to a seasonally regulated yearly rate of 1.1 million units, compared with a yearly increase of 0.5 million in September.
Median Price of a Home
The US housing market is expected to slow further in the coming years. In addition, the national median of existing home prices will rise by a modest 2.3% over the next coming years, according to the National Association of Realtors. Construction activity picked up last month as lower mortgage rates boosted improved sentiment among homebuilders. The number of authorized building permits for new housing units jumped 12% in October to a seasonally adjusted yearly rate of 1.1 million units, compared with a yearly increase of 0.5 million in September.
Existing Homes
Sales of existing homes fell 1.3% year-on-year, according to the National Association of Realtors. Home sales were a seasonally adjusted 5.2 million units in September, down from a year earlier. The median price for a home of all existing housing types in the US reached $266,300, according to NAR, compared with about $8,000 in December.
From the 555,000 homes sold in December 2018, which began in March 2019 with 690,000 homes sold, national home sales rose steadily to nearly 1.1 million from September, according to NAR, and steadily declined to a forecast of just under 400,000 in 2019. In the Midwest and Southwest, new home sales are expected to grow at an average rate of about 3% in 2020, up from about 2.5% in 2017.
Luxury Home
Although essentially flat, it marked the first time luxury prices have not fallen for three quarters in a row. Redfin defines a home as a luxury if it is the 5 percent most expensive home sold in the quarter. For this analysis, they tracked the sale of luxury apartments in all 50 states and the District of Columbia, excluding New York City.
To Sum It Up
Existing home sales have remained relatively steady at about 433,000 a month since March 2019. By contrast, new home sales have jumped since January 2020. The number of sales days for an average single-family home was 56.…