U.S. existing-home sales increase in line with forecasts in August

The National Association of Realtors (NAR) announced on Tuesday that the U.S. existing home sales rose 2.4 percent m-o-m to a seasonally adjusted rate of 6.00 million in August from an unrevised 5.86 million in July. That was the highest level since December 2006.

Economists had forecast home resales increasing to a 6.00 million-unit pace last month.

In y-o-y terms, existing-home sales surged 10.5 percent in August.

According to the report, each of the four major regions experienced both m-o-m and y-o-y growth. Single-family home sales stood at 5.37 million in August, up 1.7 percent from 5.28 million in July, and up 11.0 percent from one year ago. The median existing single-family home price was $315,000 in August, up 11.7 percent from August 2019. Meanwhile, existing condominium and co-op sales were recorded at a seasonally adjusted annual rate of 630,000 units in August, up 8.6 percent from July and up 6.8 percent from one year ago. The median existing condo price was $273,300 in August, an advance of 7.8 percent from a year ago.

"Home sales continue to amaze, and there are plenty of buyers in the pipeline ready to enter the market," noted Lawrence Yun, NAR’s chief economist. "Further gains in sales are likely for the remainder of the year, with mortgage rates hovering around 3% and with continued job recovery."