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Home Sales slide in December, But Rose Overall in 2017, Import for Manufactured Housing

January 24th, 2018 Comments off

DecemberHousingSnapshotNARGraphicDailyBusinessNewsMHProNews525

While conventional housing remains hot, the statistics that follow continue to spell “opportunity” for visionary, and long-term thinkers in manufactured housing.

 

Existing-home sales [EHS] subsided in most of the country in December, but 2017 as a whole edged up 1.1 percent and ended up being the best year for sales in 11 years,” according to the National Association of Realtors® (NAR).

Total existing-home sales…which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, increased 1.1 percent in 2017 to a 5.51 million sales pace and surpassed 2016 (5.45 million) as the highest since 2006 (6.48 million),” the NAR said in a release to the Daily Business News.

 

2017-12-ehs-ExistingHomeSaleshousingNationalAssocRealtorsNAR-snapshot-infographic-01-24-2018DailyBuisnessNewsMHProNews600

 

In December, existing-home sales slipped 3.6 percent to a seasonally adjusted annual rate of 5.57 million from a downwardly revised 5.78 million in November. After last month’s decline, sales are still 1.1 percent above a year ago.”

LawrenceYunNARShort8.3MillionHousingUnitsRisingRentsHousingPricesCuredOnlyByMoreBuilding

The quotes above are from the special Daily Business News report, linked below.

NAR’s Yun – No Quick Fixes Spell$ Manufactured Housing Opportunitie$

Lawrence Yun, NAR chief economist, said the housing market performed remarkably well for the U.S. economy in 2017, with substantial wealth gains for homeowners and historically low distressed property sales.

Existing sales concluded the year on a softer note, but they were guided higher these last 12 months by a multi-year streak of exceptional job growth, which ignited buyer demand,” said Yun. “At the same time, market conditions were far from perfect. New listings struggled to keep up with what was sold very quickly, and buying became less affordable in a large swath of the country. These two factors ultimately muted what should have been a stronger sales pace.”

Added Yun, “Closings scaled back in most areas last month for this same reason. Affordability pressures persisted, and the pool of interested buyers at the end of the year significantly outweighed what was available for sale.”

 

ExistingHomeSalesEHSNationalAssocRealtorsNARDailyBuisnessNewsMHProNews

 

The median existing-home price for all housing types [not including manufactured housing] in December was $246,800, up 5.8 percent from December 2016 ($233,300). December’s price increase marks the 70th straight month of year-over-year gains.

Total housing inventory at the end of December dropped 11.4 percent to 1.48 million existing homes available for sale, and is now 10.3 percent lower than a year ago (1.65 million) and has fallen year-over-year for 31 consecutive months. Unsold inventory is at a 3.2-month supply at the current sales pace, which is down from 3.6 months a year ago and is the lowest level since NAR began tracking in 1999.

Those boosts in home values could be significant for those who are selling manufactured homes to retirees or other ‘downsizers.’

The lack of supply over the past year has been eye-opening and is why, even with strong job creation pushing wages higher, home price gains – at 5.8 percent nationally in 2017 – doubled the pace of income growth and were even swifter in several markets,” said Yun.

First-time buyers were 32 percent of sales in December, which is up from 29 percent in November and unchanged from a year ago.

U.S. Association, Plus Canadian-Owned U.S. based MH Lender Release Video, Facts on Modern Manufactured Homes and MH Homebuyers

With the typical manufactured home price hovering around $70,000, the opportunities for manufactured housing pros are strong.

KYPs, and the $64 Billion Dollar Question-Monday Morning Manufactured Housing Sale$ Meeting

But there is a clear need to tap into the kinds of strategies that will attract and ‘convert’ conventional housing shoppers into manufactured home buyers.  ## (News, analysis, and commentary.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted by Soheyla Kovach to the Daily Business News for MHProNews.com.

Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.

Home Sales Take a Tumble in California

August 17th, 2016 Comments off

housingwire credit postedDailyBusinessNewsMHProNewsWhile June home sales in California hit nearly a four-year high, they dropped sharply in July from June, according to housingwire, due to low inventories and decreasing affordability reports the California Association of Realtors (CAR).

Sales of existing single-family detached homes in June hit a seasonally adjusted annual rate (SAAR) of 433,600 (revised), but dropped 4.1 percent in July to a SAAR of 415,840. July’s numbers were down 5.1 percent from July sales 2015 when the SAAR reached 438,230.

Also noteworthy, CAR says the median price of an existing single-family detached house fell by 1.8% in July to $509,830 from $519,410 in June—the report said this is the fourth consecutive month the statewide median price has stayed above $500k– although July’s median price was 3.9 percent higher than the median price in July 2015.

CAR President Pat Zicarelli said, “Even with a shortage of homes on the market, low rates and strong demand have been the norm. Some regions, such as the Bay Area, are seeing an uptick in inventory as high prices are motivating sellers to list their properties for sale. While this could ease the inventory somewhat, supply remains tight, and low affordability is expected to be an issue in the short term.” ##

(Image credit: housingwire–falling prices)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J Silver to Daily Business News-MHProNews.

Existing Home Sales in U. S. Rise to Highest Pace in Nine Years

June 22nd, 2016 Comments off

sold home  mattheafeyWith interest rates remaining low and unemployment slowly falling, U. S. existing home sales hit their highest pace in nine years last month, as sales rose nearly two percent from April to May to a seasonally-adjusted annual rate (SAAR) of 5.53 million, according to data from the National Association of Realtors (NAR).

MHProNews has learned from therealdeal May’s sales volume rose 4.5 percent over the same period last year, the fastest pace in nine years.

Reaching the highest median ever recorded, The Wall Street Journal reports the median sale price for an existing home jumped 4.7 percent from a year earlier to $239,700. The NAR forecasts the pace of existing home sales may rise three percent this year.

Meanwhile, the inventory of homes for sale continues to trail demand—there were 2.2 million existing homes on the market at the end of May, a drop of 5.7 percent from a year ago. Says the NAR’s Lawrence Yun, We have a tight inventory situation—whatever is coming on the market is moving very fast.”

Meanwhile, in April the sale of new, single-family homes rose by nearly 17 percent over March, the fastest pace since Jan. 2008. ##

(Photo credit: mattheafey)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J Silver to Daily Business News-MHProNews.

NAR Forecasts Strong Existing Home Sales in 2016, Calls for more Starter Homes

May 13th, 2016 Comments off

Home_for_sale_wktv_jan_26_2016Despite continuing inventory, affordability and student loan hindrances to homeownership, the National Association of Realtors (NAR) predicts 2016 will be the strongest year for existing home sales since 2006. Lawrence Yun, the NAR’s chief economist, speaking at the association’s Legislative Meeting,predicts pre-owned home sales will hit 5.4 million this year, and home prices will rise an average of 4.5 percent.

Sen. Elizabeth Warren (D-MA) emphasized the need for student loan reform saying it can “breathe new life into housing markets.” She referenced the seven out of ten college graduates who take out student loans and then have to pay it back for years at high interest rates.

As constructiondive tells MHProNews, Yun said sluggish housing starts are slowing the overall market and that builders need to increase the inventory of starter homes. Leaving out the starter homes results in new home prices rising faster than existing sales.

Noting the restrictions imposed by Dodd-Frank on banks of all sizes, Yun said, Much of the lending for single-family housing starts historically has been among the community bank and the smaller-sized banks,” he said. “Smaller banks are hindered by this massive new regulation. Now they are frozen, and they are not making those loans.” ##

(Photo credit: wktv–home for sale)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Feb. Existing Home Sales Drop, Falling -17.1% in Northeast

March 21st, 2016 Comments off

wenatchee world photo    mike irwin creditExisting home sales fell 7.1 percent in Feb. to an annual rate of 5.07 million units, the lowest level since Nov., according to what the National Association of Realtors (NAR) tells MHProNews. Since the new mortgage regulations designed to increase transparency took effect in October, sales have been volatile, prone to big swings up and down.

Sales fell across the country, with the Northeast registering a 17.1 percent drop. Although sales were up 2.2 percent from the previous Feb., economists had expected sales to fall 2.8 percent in Feb. to an annual pace of 5.32 million units last month.

The median price for an existing home rose 4.4 percent from one year ago to $210,800.

The improving labor market is slowly pushing up wage growth and household formation, but the low inventory of available homes continues as a challenge. Finding the right property at an affordable price is burdening many potential buyers,” said NAR economist Lawrence Yun.

The number of unsold homes on the market rose 3.3 percent from Jan. to 1.88 million units, a drop of 1.1 percent from a year ago. At Feb.’s sales pace it would take 4.4 months to sell all the homes on the market, an increase from 4.0 months in Jan. As cnbc reports, a six months supply is considered a healthy balance between supply and demand. ##

(Photo credit:wenatcheeworld/Mike Irwin)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Existing Home Sales Drop in October

November 24th, 2015 Comments off

housing slides  cnnmoney  creditThe National Association of Realtors (NAR) informs MHProNews existing home sales declined 3.4 percent in October to a seasonally-adjusted annual rate (SAAR) of 5.36 million units, following Sept.’s sales pace of 5.55 million units, the second highest since 2007.

Falling more than expected, regions which have realized the largest price increases saw the largest declines, although sales rose by 3.9 percent over last October. Nevertheless, sales are on track to record their best annual rate in eight years, according to cnbc.

Household formation is increasing, boosted by a strengthening economy and lower unemployment, but the low inventory of houses for sale has driven up prices, crippling would-be first-time homebuyers. Economists had predicted the SAAR for October would be 5.40 million.

Sales last month fell 8.7 percent in the West and 3.2 percent in the south, two regions that have witnessed large price increases because of tight inventory. In the Midwest sales slipped 0.8 percent, and were unchanged in the Northeast. ##

(Image credit: CNNMoney–house prices slide)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Home Sales Rise to Best Rate in Eight Years

July 23rd, 2015 Comments off

home sales rising  housing wire com  creditExisting home sales increased 3.2% to a seasonally adjusted annual rate of 5.49 million in June, according to usatoday, selling at the fastest rate in eight years. Chief Economist for the National Association of Realtors (NAR), Lawrence Yun says “Buyers have come back in force, leading to the strongest past two months in sales since early 2007,” suggesting job growth, improved household finances and the impending rise in interest rates are prodding home buyers.

The NAR also said homes were on the market for an average of 34 days in June, six days less than in May, and the quickest turnaround since the NAR began following the rate in 2011. The median sales price of an existing home reached an all-time high, $236,400, 6.5 percent above the June, 2014 price and also above the top price set in 2006.

Increased sales, by reducing inventory, should lead to more new home construction which can lead to more jobs and spending in other parts of the economy. Of the increase, 2.8 percent were single-family homes, but the share of homes purchased by first-time homebuyers dropped to 30 percent in June from 32 percent in May. As MHProNews understands, historically, in a healthy economy, 40 percent of home sales are first-time buyers. ##

(Graphic credit: housingwire–home sales rising)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Pending Home Sales Slip a Percent

October 1st, 2014 Comments off

pending sale  paul sakuma  AP Photo creditAccording to the National Association of Realtors (NAR), the Pending Homes Sales Index (PHSI) slipped 1.0 percent in August to 104.7 from 105.8 in July, and is now below the August 2013 reading of 107.1. Regardless of the slight decline, as the worldpropertychannel.com reports,the index remains above 100 (an average level of contract activity) and is at its second highest level since August 2013. Lawrence Yun, NAR’s chief economist, says, “Fewer distressed homes at bargain prices and the acknowledgment we’re entering a rising interest rate environment likely caused hesitation among investors last month. With investors pulling back, the market is shifting more towards traditional and first-time buyers who rely on mortgages to purchase a home.” Regionally, the PHSI fell in the Northeast, the South and the Midwest but rose in the West. MHProNews understands the continuing low interest rates, falling unemployment rate and slowed home price growth should stimulate the sale of existing homes for the remainder of the year. ##

(Photo credit: Paul Sakuma/Associated Press)

Existing Home Sales Slip in August

September 23rd, 2014 Comments off

housing slides  cnnmoney  creditThe National Association of Realtors (NAR) informs MHProNews that sales of existing homes fell 1.8 percent across the country as investors continue to leave the market, making more homes available for individuals to finance. The South and the West, the two largest markets, both saw declines, offsetting the gains in the Midwest and Northeast, according to housingwire.com. Including single-family homes, condos, townhomes and co-ops, total sales fell to a seasonally adjusted annual rate of 5.05 million in August, a drop from the downwardly-revised 5.14 million in July. The pace is 5.3 percent below the Aug. 2013 rate of 5.33 million, which was the second highest month for last year. ##

(Image credit: CNNMoney.com)

Existing-home Sales Show Modest Gains

August 21st, 2014 Comments off

home sales rising  housing wire com  creditAlthough existing home sales rose 2.4 percent from last month to a seasonally-adjusted annual rate of 5.15 million in July, the highest rate of 2014, they are down 4.3 percent from last year, according to housingwire.com. Last July’s 5.38 million unit level, the highest for 2013, includes single-family homes, condos, townhomes and co-ops. Distressed homes accounted for nine percent of July home sales (six percent foreclosures, three percent short sales), a drop from 15 percent in July 2013, the first time they have landed in single-digit territory since the National Association of Realtors (NAR) began tracking the category in 2008. In 2009 distressed sales averaged 36 percent of all sales, MHProNews has learned. The percentage share of first-time buyers rose one percentage point to 29 percent in July, but remain historically low. ##

(Image credit: housingwire.com–rising home sales)