U.S. existing-home sales rose unexpectedly to a nine-month high
BNN Bloomberg
Sales of previously owned U.S. homes rose unexpectedly in October to the highest level since the start of the year, pointing to healthy demand as more buyers take advantage of stronger job growth and low mortgage rates.
Sales of previously owned U.S. homes rose unexpectedly in October to the highest level since the start of the year, pointing to healthy demand as more buyers take advantage of stronger job growth and low mortgage rates.
Contract closings increased 0.8 per cent from the prior month to an annualized 6.34 million, figures from the National Association of Realtors showed Monday. The median forecast in a Bloomberg survey of economists called for a 6.2 million pace in October.
While the monthly pace of sales has settled back after reaching a 14-year high a year ago, they remain well above pre-pandemic levels. Sales are on track to exceed 6 million this year, which would be the strongest since 2006.
“Inflationary pressures, such as fast-rising rents and increasing consumer prices, may have some prospective buyers seeking the protection of a fixed, consistent mortgage payment,” Lawrence Yun, NAR’s chief economist, said in a statement.
The median selling price rose more than 13 per cent in October from a year ago to US$353,900. That compares with US$351,200 in the prior month.