A third-quarter surge
Many states experienced a rise in existing-home sales in the third quarter, with prices moderating in many metro areas, according to the latest survey by the National Association of Realtors.
The total existing home sales increased 11.4 percent from the second quarter. This brings the seasonal adjusted annual rate up from second quarters’ 4.6 million units to 5.30 million units in the third quarter. This is a 5.9-percent increase from the third quarter of 2008.
Sales increased from the second quarter in 45 states and the District of Columbia. Twenty-eight of those 45 (and D.C.) saw double-digit gains.
According to Lawrence Yun, the NAR chief economist, the first-time-buyer tax credit is an influential factor in this recent trend.
“The buying conditions this year are the most favorable on record dating back to 1970, but the tax credit is allowing buyers to set aside any reservations about waiting for a better deal.”
During the third quarter, 123 out of 153 metropolitan statistical areas reported lower median existing single-family home prices in comparison with the third quarter of 2008, while 30 areas had price gains.
“We need a steady stream of financially qualified buyers to further reduce inventory and get us to a self-sustaining market,” Yun said.
For a more detailed report of the third quarter surge visit http://www.realtor.org/press_room/news_releases/2009/11/3q2009_metro
—Kimberly Turner
