The National Association of Realtors (NAR) has reported that existing home sales increased 14.7 percent from November 2015 to December 2015 as the seasonally adjusted annual rate jumped from 4.76 million to 5.46 million. This is the largest month-to-month increase in history, and it more than made up for the 10.5 percent decline experienced from October to November. The current rate is also up by 7.7 percent compared to last year, and all four regions of the U.S. are responsible for a share in the record increase.
Single-family homes rose by 16.1 percent from a seasonally adjusted rate of 4.15 million to 4.82 million, and the rate increased 7.1 percent for the year, which ended at a rate of 4.5 million. Condominium and coop sales also increased 4.9 percent for the month and 12.3 percent for the year.
The final rate of existing home sales for 2015 was 5.26 million, which is the best year since 2006 when the rate was 6.48 million. The chief economist of the NAR, Lawrence Yun, stated that the high increase in December shows that sales maintained a healthy pace throughout the year, and December was pushed by buyers attempting to lock in low interest rates, which have been rumored to increase sometime in 2016.
In addition to the sales rate, the median sales price of existing homes experienced a year-to-year jump in December, rising 7.6 percent to $223,100 from $208,200. This was the 46th month in a row to show an increase. The sales price of single-family homes rose by 8 percent to $226,000, and the median price of condos and coops increased 4.9 percent to $209,900.
