Nationally, existing home sales jumped 14.5% month-over-month as of last
measure, the first monthly gain in 12 months, and representing the largest monthly
increase since July 2020, according to the National Association of REALTORS®
(NAR). The sudden uptick in sales activity stems from contracts signed toward the
beginning of the year, when mortgage rates dipped to the low 6% range, causing
a surge in homebuyer activity. Pending sales have continued to improve heading
into spring , increasing for the third consecutive month, according to NAR.
• Single Family Closed Sales were down 19.2 percent to 4,671.
• Townhouse-Condo Closed Sales were down 27.7 percent to 1,565.
• Adult Communities Closed Sales were down 5.0 percent to 641.
• Single Family Median Sales Price increased 3.4 percent to $455,000.
• Townhouse-Condo Median Sales Price increased 3.9 percent to $350,000.
• Adult Communities Median Sales Price held steady at $309,950.
Monthly sales might have been even higher if not for limited inventory nationwide.
At the current sales pace, there were just 2.6 months’ supply of existing homes at
the beginning of March, far below the 4 – 6 months’ supply of a balanced market.
Inventory remains suppressed in part because of mortgage interest rates, which
nearly hit 7% before falling again in recent weeks. Higher rates have continued to
put downward pressure on sales prices, and for the first time in more than a
decade, national home prices were lower year-over-year, according to NAR,
breaking a 131-month streak of annual price increases.
Source: NJ REALTORS
