Cervone Deegan + Associates is happy to share that according to a recent report from the National Association of REALTORS® (NAR) existing home sales have surged as we get under way in 2022. Each of the four major regions in the United States saw an increase in total sales on a month by month basis this January. The total number of existing sales of homes which includes single families, condos, coops and townhomes was up specifically by 6.7%.
"Buyers were likely anticipating further rate increases and locking-in at the low rates, and investors added to overall demand with all-cash offers," said Lawrence Yun, NAR's chief economist. "Consequently, housing prices continue to move solidly higher."
Total housing inventory at the end of the month of January was down 2.3% from December and down 16.5% from this time last year. Available inventory hovers at a 1.6-month supply at the existing sales pace which is down from 1.7 months in December and from 1.9 months in January 2021.
Prices of Homes
The median existing home price for all property types for the month of January was up 15.4% from January of last year as prices increased in each region. This marked the 119th consecutive month of year-over-year increases which is also the longest-running streak on record.
Mortgage Rate Trends
According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage was 3.45% during the month of January which was a marginal increase from 3.10% seen in December. The average commitment rate for all of last year was 2.96%.
Days on Market
Properties were on the market for an average of 19 days in January which was the same amount of time on market for December, and down from 21 days seen in January 2021. Seventy-nine percent of properties that were sold in January 2022 were on the market for less than a month.