Existing-home sales saw a major jump in December, when sales increased for the fifth time in the past 6 months, reported the National Association of Realtors.
Existing-home sales, which includes single-family, townhomes, condominiums and co-ops, rose 12.3% to a seasonally adjusted annual rate of 5.28 million in December from 4.7 million in November. December sales were 2.9% below the 5.44 million sales in December 2009.
“December was a good finish to 2010, when sales fluctuate more than normal,” said NAR chief economist Lawrence Yun. “The pattern over the past 6 months is clearly showing a recovery. The December pace is near the volume we’re expecting for 2011, so the market is getting much closer to an adequate, sustainable level. The recovery will likely continue as job growth gains momentum and rising rents encourage more renters into ownership while exceptional affordability conditions remain.”
Total housing inventory at the end of December fell 4.2% to 3.56 million existing homes available for sale, which represents an 8.1 month supply at the current sales pace, down from a 9.5 month supply in November.
The national median existing-home price for all housing types was $168,800 in December, which is 1% below December 2009.