Friday, August 22, 2014
PLACERVILLE, CALIFORNIA
99 CENTS

December existing-home sales strongest in seven years

By
From page HS6 | January 31, 2014 |

Subscription Required

Thank you for reading the MtDemocrat.com digital edition. In order to continue reading this story please choose one of the following options.

Current Subscribers
If you are a current subscriber and wish to obtain access to MtDemocrat.com, please select the Subscriber Verification option below. If you already have a login, please select "Login" at the lower right corner of this box.

Subscriber Verification

Special Introductory Offer
For a short time we will be offering a discount to those who call us in order to obtain access to MtDemocrat.com and start your print subscription. Our customer support team will be standing by Monday through Friday, 8am to 5pm to assist you.

Call and Save! (530) 344-5000

If you are not a current subscriber and wish not to take advantage of our special introductory offer, please select the $12 monthly option below to obtain access to MtDemocrat.com and start your online subscription

Help?

Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, increased 1.0 percent to a seasonally adjusted annual rate of 4.87 million in December from a downwardly revised 4.82 million in November, but are 0.6 percent below the 4.90 million-unit level in December 2012.

For all of 2013, there were 5.09 million sales, which is 9.1 percent higher than 2012. It was the strongest performance since 2006 when sales reached an unsustainably high 6.48 million at the close of the housing boom.

Lawrence Yun, NAR chief economist, said housing has experienced a healthy recovery over the past two years. “Existing-home sales have risen nearly 20 percent since 2011, with job growth, record low mortgage interest rates and a large pent-up demand driving the market,” he said. “We lost some momentum toward the end of 2013 from disappointing job growth and limited inventory, but we ended with a year that was close to normal given the size of our population.”

The national median existing-home price for all of 2013 was $197,100, which is 11.5 percent above the 2012 median of $176,800, and was the strongest gain since 2005 when it rose 12.4 percent.

The median existing-home price for all housing types in December was $198,000, up 9.9 percent from December 2012. Distressed homes — foreclosures and short sales — accounted for 14 percent of December sales, unchanged from November; they were 24 percent in December 2012. The shrinking share of distressed sales accounts for some of the price growth.

Ten percent of December sales were foreclosures, and 4 percent were short sales. Foreclosures sold for an average discount of 18 percent below market value in December, while short sales were discounted 13 percent.

Total housing inventory at the end of December fell 9.3 percent to 1.86 million existing homes available for sale, which represents a 4.6-month supply at the current sales pace, down from 5.1 months in November. Unsold inventory is 1.6 percent above a year ago, when there was a 4.5-month supply.

The median time on market for all homes was 72 days in December, up sharply from 56 days in November, but slightly below the 73 days on market in December 2012. Adverse weather reportedly delayed closings in many areas. Twenty-eight percent of homes sold in December were on the market for less than a month, down from 35 percent in November, which appears to be a weather impact.

Short sales were on the market for a median of 122 days in December, while foreclosures typically sold in 67 days and non-distressed homes took 70 days.

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage rose to 4.46 percent in December from 4.26 percent in November; the rate was 3.35 percent in December 2012.

NAR President Steve Brown, co-owner of Irongate, Inc., Realtors in Dayton, Ohio, said that with jobs expected to improve this year, sales should hold even despite rising home prices and higher mortgage interest rates. “The only factors holding us back from a stronger recovery are the ongoing issues of restrictive mortgage credit and constrained inventory,” he said. “With strict new mortgage rules in place, we will be monitoring the lending environment to ensure that financially qualified buyers can access the credit they need to purchase a home.”

First-time buyers accounted for 27 percent of purchases in December, down from 28 percent in November and 30 percent in December 2012.

All-cash sales comprised 32 percent of transactions in December, unchanged from November; they were 29 percent in December 2012. Individual investors, who account for many cash sales, purchased 21 percent of homes in December, up from 19 percent in November, but are unchanged from December 2012.

Single-family home sales rose 1.9 percent to a seasonally adjusted annual rate of 4.30 million in December from 4.22 million in November, but are 0.7 percent below the 4.33 million-unit pace in December 2012. The median existing single-family home price was $197,900 in December, up 9.8 percent from a year ago.

Existing condominium and co-op sales fell 5.0 percent to an annual rate of 570,000 units in December from 600,000 units in November, and are unchanged a year ago. The median existing condo price was $198,600 in December, which is 10.9 percent above December 2012.

Regionally, existing-home sales in the Northeast slipped 1.5 percent to an annual rate of 640,000 in December, but are 3.2 percent higher than December 2012. The median price in the Northeast was $239,300, up 3.6 percent from a year ago.

Existing-home sales in the Midwest fell 4.3 percent in December to a pace of 1.11 million, and are 0.9 percent below a year ago. The median price in the Midwest was $150,700, which is 7.0 percent higher than December 2012.

In the South, existing-home sales increased 3.0 percent to an annual level of 2.03 million in December, and are 4.6 percent above December 2012. The median price in the South was $173,200, up 8.9 percent from a year ago.

Existing-home sales in the West rose 4.8 percent to a pace of 1.09 million in December, but are 10.7 percent below a year ago. Inventory is tightest in the West, which is holding down sales in many markets, and multiple bidding is causing it to experience the strongest price gains in the U.S. The median price in the West was $285,000, up 16.0 percent from December 2012.

Comments

comments

.

News

Sand Fire benefit tonight

By Dawn Hodson | From Page: A1

 
County Counsel retires next week

By Chris Daley | From Page: A1 | Gallery

 
Patrol car hit in collision

By Cole Mayer | From Page: A1

‘When I’m 64…’: Pebble Beach Concours shows it’s got muscle

By Larry Weitzman | From Page: B1 | Gallery

 
Murder-suicide? Elderly couple found dead

By Cole Mayer | From Page: A1

Heard over the back fence: Sand Fire Benefit Aug. 22

By Bob Billingsley | From Page: B1

 
Eldorado National Forest chosen for new wildland fire project

By Usda Forest Service | From Page: A3

County unemployment up to 7.2 percent

By Michael Raffety | From Page: A3

 
Burke’s Corner: August 22, 2014

By Special to the Democrat | From Page: A8

NRA grants awarded, application process begins

By News Release | From Page: A8

 
Child Support Awareness Month

By News Release | From Page: A10

Fundraiser to benefit Animal Outreach

By News Release | From Page: A10

 
Water Agency gets preview of water rights project

By Dawn Hodson | From Page: A11

.

Opinion

 
Something to think about: Star Trek and Dog Days

By Wendy Schultz | From Page: A4

Mystery savings

By Mountain Democrat | From Page: A4

 
.

Letters

Frentzen for Supervisor District 2

By Letters to the Editor | From Page: A2

 
Another Logan Building Grand Jury report

By Letters to the Editor | From Page: A5

Head Start hours cut

By Letters to the Editor | From Page: A5

 
Mather approval hearing article

By Letters to the Editor | From Page: A5

Amaral for Supervisor (District 2)

By Letters to the Editor | From Page: A5

 
Consequences of initiatives

By Letters to the Editor | From Page: A5

Vote for Todd White

By Letters to the Editor | From Page: A5

 
.

Sports

College boxing route for local pair

By Jerry Heinzer | From Page: A6 | Gallery

 
Fox to enter section’s Hall of Fame

By Democrat Staff | From Page: A6

 
‘When The Game Stands Tall’

By Mike Bush | From Page: A6 | Gallery

Take the challenge at Crazy Eights Trail races

Press Release | From Page: A7

 
.

Prospecting

Things to do 8-22-14

By Michael Raffety | From Page: B2

 
‘All My Sons’: Sierra Rep stages Arthur Miller play

By Sierra Repertory | From Page: B2

EDCOE Pearson Vue Testing Center grand opening

By El Dorado County Office of Education | From Page: B2

 
FLC theater to audition for ‘Anon(ymous)’

By Folsom Lake College | From Page: B2

Low-cost flu clinics announced

By Health and Human Services Agency | From Page: B4

 
Cast adrift in the Pacific: Life as I know it: Robert F. Boggus

By Robert F. Boggus | From Page: B4 | Gallery

Remembering EDH columnist Millie Smith

By Special to the Democrat | From Page: B5

 
Twisted Oak event

By Twisted Oak | From Page: B5

Concorso Italiano — Italy in Monterey

By Special to features | From Page: B6 | Gallery

 
.

Essentials

.

Obituaries

Dennis Jack Fike

By Contributor | From Page: A2

 
Cecil W. Jones

By Contributor | From Page: A2

Barbara Ellen Pratt

By Mountain Democrat | From Page: A2

 
Marilyn K. Brown death notice

By Contributor | From Page: A2

Ruby M. (Elvers) Buck funeral notice

By Contributor | From Page: A2

 
.

Real Estate

Day of reckoning approaches for HELOC borrowers

By Ken Calhoon | From Page: HS3

 
Putting the grace in gracious living

By Marni Jameson | From Page: HS4

Home-price gains decelerate in many metro areas

Press Release | From Page: HS6

 
Luxurious Marion fits on narrow corner lot

Press Release | From Page: HS7

Traditional, modern meld in Pinedale

Press Release | From Page: HS14

 
.

Comics

Print edition, Friday, August 22, 2014

By Contributor | From Page: A1

 
Sudoku

By Contributor | From Page: A9

Rubes

By Contributor | From Page: A9

 
Long Story Short

By Contributor | From Page: A9

TV Listings

By Contributor | From Page: A9

 
Speed Bump

By Contributor | From Page: A9

Tundra

By Contributor | From Page: A9

 
Shoe

By Contributor | From Page: A9

New York Times Crossword

By Contributor | From Page: A10

 
Horoscope, Sunday, August 24, 2014

By Contributor | From Page: A10

Horoscope, Saturday, August 23, 2014

By Contributor | From Page: A10

 
Horoscope, Friday, August 22, 2014

By Contributor | From Page: A10

.

Home Source

Day of reckoning approaches for HELOC borrowers

By Ken Calhoon | From Page: HS3

Putting the grace in gracious living

By Marni Jameson | From Page: HS4

Home-price gains decelerate in many metro areas

Press Release | From Page: HS6

Luxurious Marion fits on narrow corner lot

Press Release | From Page: HS7

Traditional, modern meld in Pinedale

Press Release | From Page: HS14