Housing Market Up Nearly 10% in January

Year-over-year gains in the January 2020 housing market provide a positive sign for the beginning of 2020. The 5.46M SAAR for the year’s first month was a 9.6% gain over January 2019. Median sales prices posted their 95th consecutive month of year-over-year increases, as inventory concerns remain a huge hurdle.

EHS-Jan-2020Repeating a theme, housing inventory will remain a challenge in 2020, as house prices continue their upward arc. January’s 3.1 months of inventory is an inch upward from December (3.0), but a far cry from a balanced market, which is closer to six months.

Existing home sales numbers for January 2020:

  • EHS +9.6% YoY, vs January 2019
  • December SAAR: 5.46M units
  • Median Price: $266,300 (+6.8% YoY)
  • 95th consecutive month of YoY price increases
  • Unsold Inventory: 3.1 months (down from 3.8 YoY)
  • Homes sold <1 month: 42%
  • First-time buyers: 32% (up 3 points YoY)

NAR’s chief economist, Lawrence Yun:

Existing-home sales are off to a strong start at 5.46 million. The trend line for housing starts is increasing and showing steady improvement, which should ultimately lead to more home sales … Mortgage rates have helped with affordability, but it is supply conditions that are driving price growth.

Read the full article:
Existing-Home Sales Housing Snapshot | www.nar.realtor

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