A stressed US housing market had many challenges in February.
The National Association of Realtors (NAR) reports that existing home sales were down 7.2% in February month-over-month; year-over-year EHS fell 2.4%. The month also marked the 120th consecutive month of YoY existing home median price increases. And housing inventory sits at 1.7 months, down from previous year’s 2.0 months. This number is extremely low when compared to historical averages.
Housing inventory could remain a challenge for the duration of 2022, as house prices continue their upward arc, and inflationary concerns continue to escalate. 86% of homes sold in February were on the market for less than one month. What little inventory is available is moving fast, at high prices.
Existing home sales numbers for FEBRUARY 2022:
- EHS -2.4% YoY, vs February 2021
- February SAAR: 6.02M units
- Median Price: $357,300 (+15% YoY)
- 120th consecutive month of YoY price increases
- Unsold Inventory: 1.7 months (down from 2.0 YoY)
- Homes sold <1 month: 84%
- First-time buyers: 29% (down 2 points YoY)
- Average monthly payment: +28%
NAR’s chief economist, Lawrence Yun:
“Housing affordability continues to be a major challenge, as buyers are getting a double whammy: rising mortgage rates and sustained price increases. Some who had previously qualified at a 3% mortgage rate are no longer able to buy at the 4% rate. Monthly payments have risen by 28% from one year ago – which interestingly is not a part of the consumer price index – and the market remains swift with multiple offers still being recorded on most properties.”
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Read the full article at NAR:
Existing-Home Sales Housing Snapshot | www.nar.realtor