Existing-Home Sales Drops For Fourth Straight Month, Drops Significantly in the Northeast

The National Association of Realtors (NAR) released their existing-home sales report for July and for the fourth consecutive month sales have been down.  The report indicated that existing-home sales are moving at the slowest pace in the last two year.  The Northeast had a significant drop in existing-home sales as affordability and inventory issues continue to plague the industry.

Total existing-home sales which are completed transactions that include single-family homes, townhomes, condominiums and co-ops fell 0.7% to an annual rate of 5.34 million for July.  The adjusted projected rate has declined from 5.38 million in June. Chief economist for the NAR Lawrence Yun stated  “Led by a notable decrease in closings in the Northeast, existing home sales trailed off again last month, sliding to their slowest pace since February 2016 at 5.21 million.  Too many would-be buyers are either being priced out, or are deciding to postpone their search until more homes in their price range come onto the market.”

Median prices for existing-homes increased for the 77th consecutive month.  The median price jumped to $269,600 which increased 4.5% from July 2017.  Total housing inventory decreased to .5% to 1.92 million which is unchanged from the amount available at the same time last year.

On a regional level the Northeast saw the biggest drop in existing home sales for the month.  Sales dropped 8.3% to an annual rate of 660,000.  The median price for an existing home in the Northeast was $309,700.  This is an increase of 6.8 percent from the same time last year.  The Midwest saw sales decline 1.6% to a rate of 1.25 million in July.   The median prices in the Midwest was up 2.5% from 2017 to $210,500.  In the South, sales decreased 0.4% to a rate of 2.24 million in July. The median price in the South was up 2.7% to a price of $233,400.  The West was the only region to see an increase of 4.4%  to a rate of 1.19 million in July. Median prices in the West increased 5.1% to $392,700 from July 2017.

Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://www.blueharbourpropertymanagement.com/existing-home-sales-drops-for-fourth-straight-month-drops-significantly-in-the-northeast/

Existing-Home Sales Gain In The Northeast As Trend Nationwide Continues to Decline

The National Association of Realtors (NAR) released their existing-home sales report for June.  The report indicates that existing-home sales decreased for the third straight month in June.  Although there were sales gains in both the Northeast and Midwest, lagging sales in the West and South resulted in overall decrease in existing-home sales by 0.6%.

Existing-home sales which is defined by the NAR as completed transactions which includes single-family homes, townhomes, condominiums and co-ops decreased to an adjusted annual rate of 5.38 million in June from revised 5.41 million in May. Sales are now down 2.2% overall year over year.

One of the major factors that has been hurting the market is the ongoing dearth supply of available homes in relation to demand.   Lawrence Yun, chief economist for NAR stated  “There continues to be a mismatch since the spring between the growing level of homebuyer demand in most of the country in relation to the actual pace of home sales, which are declining.  The root cause is without a doubt the severe housing shortage that is not releasing its grip on the nation’s housing market. What is for sale in most areas is going under contract very fast and in many cases, has multiple offers. This dynamic is keeping home price growth elevated, pricing out would-be buyers and ultimately slowing sales.”

Median sales prices once again hit an all-time high June at $276,900.  This amount is an increase from June 2017 of 5.2% ($263,300).  This is the 76th straight month of an increase of existing-home sales prices.  Housing inventory increased 4.3% to 1.95 million existing homes available which is 0.5 percent above a year ago.  Yun warned that despite this increase in inventory, the demand any growth.  Yun states  “It’s important to note that despite the modest year-over-year rise in inventory, the current level is far from what’s needed to satisfy demand levels.  Furthermore, it remains to be seen if this modest increase will stick, given the fact that the robust economy is bringing more interested buyers into the market, and new home construction is failing to keep up.”

Regionally, here in the Northeast we saw a moderate gain.  Existing-home sales increased 5.9% to an annual rate of 720,000.  The median price in the Northeast was $305,900.  This is up 3.3% from June 2017.  The Midwest saw gains of 0.8% while the West -2.6% and South -2.2% saw declines.

Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://www.blueharbourpropertymanagement.com/existing-home-sales-gain-in-the-northeast-as-trend-nationwide-continues-to-decline/

Northeast Existing-Home Sales Increase Despite Nationwide Downward Projection

The National Association of Realtors (NAR) released their report on existing-home sales for the month of May and it shows that the national trend of sales in the sector is trending downward for the second consecutive month.  All markets show a drop off with the exception of the Northeast which saw a 4.6% increase.  The numbers come as no surprise as inventory as well as increase mortgage rates are hurting the industry.

According to the report, which is considered completed transactions including single-family homes, townhomes, condominiums and co-ops, decreased 0.4% to a seasonally adjusted annual rate of 5.43 million for May. Sales are now down 3.0% from 2017.

Chief economist for the NAR Lawrence Yun stated “Closings were down in a majority of the country last month and declined on an annual basis in each major region. Incredibly low supply continues to be the primary impediment to more sales, but there’s no question the combination of higher prices and mortgage rates are pinching the budgets of prospective buyers, and ultimately keeping some from reaching the market.” Despite seeing almost historic levels of decreased inventory there was an increase this month.  Housing inventory jumped in May 2.8% to 1.85 million existing homes available for sale.  It is worth noting that this is 6.1% lower year over year.

The Northeast was the only region that saw an increase in existing-home sales.  In May, sales increased 4.6% to an annual rate of 680,000.  This amount is still 11.7% below the same time in 2017.  The Midwest saw the most drastic decline in 2.3% followed by the West at 0.8% and the South at 0.4%.

Also of note, median existing-home price for all housing types hit an all time high in May at $264,800.  This is up 4.9% from May 2017 ($252,500) and the 75th straight month of increases.  Mortgage rates also increase for a 7th consecutive month to 4.59%.  The increase in both sales prices and mortgages rates are hampering first-time home buyers in entering into the market according to Yun.  “The abrupt hike in mortgage rates this spring, along with price appreciation and competition being the strongest in the entry-level part of the market, is why first-time buyers are not as active as they should be and their participation remains below its historical average.”

Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://www.blueharbourpropertymanagement.com/northeast-existing-home-sales-increase-despite-nationwide-downward-projection/

Existing-Home Sales Increase For Second Consecutive Month Bolstered By Strong Activity In The Northeast

The National Association of Realtors (NAR) has released their existing-home sales report for March.  The report indicates that existing-home sales grew 1.1% and was assisted by increased sales activity in the Northeast and higher total inventory.  Despite overall existing-home sales increasing, the market in still being hampered by overall affordability issues and inventory being low despite and increase in new houses hitting the market.  The figures indicate that overall demand remains high as purchasers have to pay a premium for the low level of existing homes.

Existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops increased to an adjusted annual rate of 5.60 million in March.  This is an increase from 5.54 million in February. The report indicates that sales are still 1.2% below from the same time a year ago.  The median existing home prices increased for the 73rd consecutive month to $250,400 and is 5.8% higher than a year ago ($236,600).   Total inventory of existing-home increased increased 5.7% for March to 1.67 million existing homes.  This is still significantly lower than a year ago when 1.8 million existing-homes were available.

Existing-home sales regionally increased in the Northeast and Midwest.  The Northeast saw an increase of 6.3% to a adjusted rate of 680,000.  Median prices also increased by 3.3% to 270,600.  The Midwest saw an increase of 5.7% to an annual rate of 1.29 million in March with median sales prices increasing 5.1% to $192,200.  The West region saw an increase of sales price of 7.9% to $377,100.  Inventory in the region was down 3.1%.

Lawrence Yun, chief economist for NAR said the following:

"Robust gains last month in the Northeast and Midwest – a reversal from the weather-impacted declines seen in February – helped overall sales activity rise to its strongest pace since last November at 5.72 million.  The unwelcoming news is that while the healthy economy is generating sustained interest in buying a home this spring, sales are lagging year ago levels because supply is woefully low and home prices keep climbing above what some would-be buyers can afford.  Although the strong job market and recent tax cuts are boosting the incomes of many households, speedy price growth is squeezing overall affordability in several markets – especially those out West."

Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://www.blueharbourpropertymanagement.com/existing-home-sales-increase-for-second-consecutive-month-bolstered-by-strong-activity-in-the-northeast/

Existing Home Sales For February 2018 Increases Despite A Significant Drop in the Northeast

Existing home sales grew three percent (3%) in February changing course from the previous two months which were hampered by low inventory levels and overall increases in sales prices.  The report produced by the National Association of Realtors (NAR) saw the Northeast region (-12.3%) having a huge decrease in existing home sales and that was followed by the Midwest (-2.4%).  Strong sales in the South (+6.6%) and West (11.4%) led to the growth for February altogether.   Cold and severe weather as we have seen in New York City this winter has affected existing home sales for the period for the Northeast region.

Total existing-home sales which are completed transactions that include single-family homes, townhomes, condominiums and co-ops increased to a seasonally adjusted annual rate of 5.54 million in February which is an increase from 5.38 million in January. With the numbers for this month, overall sales are ahead of last year's pace by 1.1%.  Median existing-home price increased 5.9% from the same period last year to $241,700.  It is the 72^nd straight month of year-over-year gains.  Surprisingly, total inventory rose 4.6% for February to 1.59 million existing homes.  The amount is a positive sign however is still 8.1% below the amount for the same time in February 2017 and is the 33rd consecutive month we have seen year over year inventory being lower.  Unsold inventory is at 3.4 month supply which is significantly low.  A healthy supply would be 6 months.

Chief economist for the NAR Lawrence Yun said the following:

“A big jump in existing sales in the South and West last month helped the housing market recover from a two-month sales slump.  The very healthy U.S. economy and labor market are creating a sizeable interest in buying a home in early 2018. However, even as seasonal inventory gains helped boost sales last month, home prices – especially in the West – shot up considerably. Affordability continues to be a pressing issue because new and existing housing supply is still severely subpar.  The unseasonably cold weather to start the year muted pending sales in the Northeast and Midwest in January and ultimately led to their sales retreat last month. Looking ahead, several markets in the Northeast will likely see even more temporary disruptions from the large winter storms that have occurred in March.”

Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://www.blueharbourpropertymanagement.com/existing-home-sales-for-february-2018-increases-despite-a-significant-drop-in-the-northeast/

Existing Home Sales Increase In October; Supply Still Low

That National Association of Realtors (NAR) is reporting that existing home sales for the month of October 2017 is up 2% to what they believe is an adjusted annual rate of sales of 5.48 million.  This is a positive readjustment as the September predicted annual rate was 5.37 million.  The sales figures comes amid continual shortages of inventory in housing as well as interruption in sales in hurricane regions in Texas and Florida.  NAR believes that the interruptions in sales in hurricane ravaged areas should dissipate by the end of the year.

Lawrence Yun, chief economist for NAR pointed out that sales activity is continuing to grow in all four regions of the United States.  He goes on to state:

 "Job growth in most of the country continues to carry on at a robust level and is starting to slowly push up wages, which is in turn giving households added assurance that now is a good time to buy a home.  While the housing market gained a little more momentum last month, sales are still below year ago levels because low inventory is limiting choices for prospective buyers and keeping price growth elevated."

The total amount of inventory decreased once again in October as there were only 1.8 million homes available for sale.  This is a decrease of 10.4% year over year.  As a result of lower inventory, existing home prices have gone up by 5.5% ($247,000) during the same period.

Of note for us living in the New York City region is that existing home sales in the Northeast rose 4.2% to an annual rate of 740,000.  The average price in the Northeast has increase to $272,800 which is a 6.6% increase year over year.

As the economy improves we are also seeing more individuals looking for purchase a second home for investment purposes.  If you are looking for are have an investment property and are interested in NYC property management than Blue Harbour Property Management is for you.  We are a full-service building management company servicing properties in Queens, Brooklyn, Manhattan and the Bronx.

http://www.blueharbourpropertymanagement.com/existing-home-sales-increase-october-supply-still-low/

September 2017 Existing Home Sales Unexpectedly Rebounds

The National Association of Realtors (NAR) is reporting that total existing-home sales which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, rose 0.7 percent to a seasonally adjusted annual rate of 5.39 million in September from 5.35 million in August. The report which you can read here, comes amid three consecutive months of monthly existing home declines which were affected by hurricanes hitting the Southern United States and shortages in housing.

Lawrence Yun, chief economist for the NAR states “sales activity likely would have been somewhat stronger if not for the fact that parts of Texas and South Florida – hit by Hurricanes Harvey and Irma – saw temporary, but notable declines.”  Texas and Florida make up 18 percent of all existing home sales nationwide.

Housing inventory rose 1.6 percent to 1.90 million existing homes available for sale.  This is 6.4 percent lower than a year ago (2.03 million) and has fallen year-over-year for 28 consecutive months. It should be also be noted that unsold inventory at a meager 4.2-month supply at the current sales pace, which is down from 4.5 months a year ago.  The shortage of existing homes affected the median sales prices of homes.  The median existing-home price in September was $245,100 nationwide which is an increase of 4.2 percent from September 2016 ($235,200).

Existing condominium and co-op sales decreased 1.6 percentage points to an adjusted figure of 600,000 units annually, 1.6 percent below figures of a year ago. The median existing condo price in September was $231,300 — up 4.1 percentage points from 2016.
Here in the Northeast, September existing-sales are at a projected annual rate of 720,000.  This amount is the same as August and is below last year's figures by 1.4 percent.  The median price of an existing home in the Northeast was $274,100.  That amount is 4.8 percent above September 2016. 

New York State Association of Realtors has indicated that there were 98,176 closed sales through the first nine months of 2017, a 1.7-percent increase from 2016 and 38,445 closed sales in the 2017 third quarter which is a decrease of 3.1 percent from the 2016 third quarter total of 39,693.   Statewide median sales price through the first three quarters of the year was $250,000, a 5.5-percent increase from the same period in 2016.

 Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://www.blueharbourpropertymanagement.com/september-existing-home-sales-unexpectedly-rebounds/

Pending Home Sales Breaks Trend and Increases in June 2017

The National Association of Realtors (NAR) is reporting that pending home sales increased in June 2017 which is bucks a three month trend of decreased contract activity from the same time a year ago.  NAR used a pending home sales index which rose 1.5 percent in June to 110.2.  The index has increased 0.5 percent over the past 12 months and for the first time since March.  All major regions saw an increase of activity except the Midwest according to the report.

Lawrence Yun, chief economist for the NAR believes that low supply is hampering an increase in activity although the nation has 2.2 million net new jobs.  He states "Low supply is an ongoing issue holding back activity. Housing inventory declined last month and is a staggering 7.1 percent lower than a year ago.  Market conditions in many areas continue to be fast paced, with few properties to choose from, which is forcing buyers to act almost immediately on an available home that fits their criteria."  There were 1.96 million homes for sale in June, a 7.1 percent decline from a year ago.

Of particular interest here in the Northeast, the pending home sales index indicates a 0.7% increase in activity from the previous month and 2.9% increase year to year.  The NAR considers Connecticut, Maine, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, Vermont as comprising the Northeast.

Yun expects existing-home sales to finish around 5.56 million, which is an increase of 2.6 percent from 2016 (5.45 million). The national median existing-home price this year is expected to increase around 5 percent. In 2016, existing sales increased 3.8 percent and prices rose 5.1 percent according the the report.  The median sales price is currently at $263,800 an increase of 6.5% year over year.

The Pending Home Sales Index is an idex devised by the National Association of Realtors for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed.  The index is based on a national sample, typically representing about 20 percent of transactions for existing-home sales.

 Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.

http://www.blueharbourpropertymanagement.com/pending-home-sales-breaks-trend-increases-june/

Foreclosure Activity Lowest Since Pre-Recession 2005 Level

Housing appears to be stabilizing nationwide however there is still need for improvement in the New York City metropolitan region.  ATTOM Data Solutions, a company which curates a multi-sourced housing database released a report today indicating that foreclosure filings are at the lowest levels since 2005.  Foreclosure filings consists of default notices, scheduled auctions and the actual repossession of the property by the banks.  It is being reported that there were 77,049 filings on U.S. properties in April. This is down 23% from a year ago at the same point and at the lowest level since November 2005.

"Foreclosure activity continued to search for a new post-recession floor in April thanks in large part to the above-par performance of mortgages originated in the past seven years," said Daren Blomquist, senior vice president at ATTOM Data Solutions. "Meanwhile we are seeing an elevated share of repeat foreclosures on homeowners who often fell into default several years ago but have not been able to avoid foreclosure despite the housing recovery."
Of particular interest in the Northeast is that in New Jersey, Connecticut and Massachusetts foreclosure filings actually increased by 1%, 29% and 3% respectively.

Also of note is that a new analysis of repeat foreclosure starts, shows them increasing in some areas and in particular in New York City. In NYC repeat foreclosures occurred at 54%. This was the highest level of the 5 metropolitan areas that were examined for the analysis.  The other cities included Los Angeles (39%), Miami-Dade County (32%), Maricopa County, Arizona (26%) and Essex County, New Jersey (20%). A repeat foreclosure start is defined as a foreclosure start filed on a property address-owner last name combination in 2016 with a previous foreclosure start on the same property address-owner combination in the last 10 years.

Nationwide, initiating foreclosures are at pre-recession levels.  A total of 34,085 U.S. properties started the foreclosure process in April, down 6 percent from March 2017 and down 22 percent from the same time a year ago.

Blue Harbour Property Management is a full service NYC property management company servicing the boroughs of Queens, Brooklyn, Manhattan and the Bronx.  Whether it be a 1 bedroom condo or multi-family building we are able to assist our clients maximize their investments.
http://www.blueharbourpropertymanagement.com/foreclosure-activity-lowest-since-pre-recession-2005-level/

Existing Home Sales Increase to Highest Level Since 2007

Existing-home sales in March increased to the highest level since 2007 according to a report by the National Association of Realtors. The report saw sever shortages in overall supply and homes coming off the market faster than in months prior. Total existing home sales, completed transactions including single-family homes, townhomes, condominiums and co-ops, increased 4.4% to a seasonally adjusted rate of 5.71 million in March, according to the report by NAR.  It is an increase of 5.9% above last year’s pace, marking the strongest month of sales since February 2007.

Lawrence Yun who is the NAR chief economist, says existing sales had a serious comeback in March and the gains were led in the Northeast and Midwest.

"The early returns so far this spring buying season look very promising as a rising number of households dipped their toes into the market and were successfully able to close on a home last month," he said. "Although finding available properties to buy continues to be a strenuous task for many buyers, there was enough of a monthly increase in listings in March for sales to muster a strong gain. Sales will go up as long as inventory does."

Of importance in the New York City region, March existing-home sales in the Northeast surged 10.1 percent to an annual rate of 760,000, and are now 4.1 percent above a year ago. The median price in the Northeast was $260,800, which is 2.8 percent above March 2016.

The median existing-home price continued to rise, hitting $236,400 in March. This is up 6.8% from last year’s $221,400 and marks the 61st consecutive month of annual home-price increases.  One of the major factors in the rising home prices has been competition as we have seen properties stayed on the market for 34 days in March.  The is down significantly from 45 days in February and 47 days last year.

Short sales stayed on the market an average of 90 days in March as foreclosures usually sold in about 52 days. Non-distressed homes took the shortest time to sell at 32 days, the shortest time since NAR began tracking in May 2011. In fact, 48% of homes sold in March were on the market for less than a month. First-time buyers were 32 percent of sales in March, which is unchanged from February and up from 30 percent a year ago.

http://www.blueharbourpropertymanagement.com/existing-home-sales-increase-highest-level-since-2007/

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Pending Homes Sales Adjusts to Second Highest Level in A Decade

Pending home sales increased in February and reached its highest level in over a year and second-highest level in over a decade according to NAR (National Association of Realtors). All major regions saw a notable hike in contract activity last month.  According to an index used by NAR called the Pending Home Sales Index, there was an increase of 3.4% in February to 102.1 in the Northeast, 11.4% to 110.8 in the Midwest, 4.3% to 127.8 in the South and 3.1% to 97.5 in the West.   This is the second highest level it has hit since May of 2006.

T

he Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.  According the NAR, the index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity parallels the level of closed existing-home sales in the following two months.

To review the Index you can click here.

NAR chief economist Lawrence Yun stated that  February's convincing bump in pending sales is proof that demand is rising with spring on the doorstep. "Buyers came back in force last month as a modest, seasonal uptick in listings were enough to fuel an increase in contract signings throughout the country.  The stock market's continued rise and steady hiring in most markets is spurring significant interest in buying, as well as the expectation from some households that delaying their home search may mean paying higher interest rates later this year."

Existing-home sales nationwide are expected be around 5.57 million this year which would be  an increase of 2.3 percent from 2016 (5.45 million). The national median existing-home price this year is expected to increase around 4 percent. In 2016, existing sales increased 3.8 percent and prices rose 5.1 percent.

http://www.blueharbourpropertymanagement.com/pending-home-sales-second-highest-level-in-a-decade/

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