Existing home sales in the United States rose by 0.5% in November, according to the National Association of Realtors' Existing-Home Sales Report.
There were month-over-month increases in the Northeast and South, while the West stayed the same, and decreases in the Midwest.
Year-over-year sales showed no change in the Northeast and South, and decreased in the Midwest and West.
According to the NAR Chief Economist Lawrence Yun, this was the third straight month of existing home sales increases, due to low mortgage rates during autumn. Despite this, inventory growth is beginning to stall.
“With distressed property sales at historic lows and housing wealth at an all-time high, homeowners are in no rush to list their properties during the winter months,” he said.
Yun added that while wage growth outpacing price growth improves house affordability, this could still be hampered if housing supply fails to keep pace with demand.
During November, housing inventory fell 5.9% in October but grew 7.5% from the same time last year.
He said single-family home sales have outperformed condominium sales in November, continuing an ongoing trend.
“The typical price of a sold condo was 13.5% lower than the typical price of a single-family home,” Yun said.
“However, the purchase price does not include the condominium association fees, which are rising and making these purchases more expensive.
Single-family home sales saw a 0.8% increase month-over-month, but fell 0.8% from November last year.
There was also a 1% increase in existing home sales year-over-year.
The median housing price was up 1.2% to US$409,200, marking the 29th consecutive month of year-over-year price increases.
The average mortgage was 6.24% in November, according to Freddie Mac, down from 6.25% in October and 6.81% one year ago.
First-time buyers accounted for 30% of sales in November, remaining the same as last year.
According to economists, a 40% share in this category is needed for a robust housing market.
