Existing-home sales climbed for the third straight month in November, as buyers assured to lock in their acquisitions before mortgage rates increase in the coming months.
Source: National Association of Realtors
XHB is up 0.92%.
Total existing-home sales during the month increased 1.9% to a seasonally adjusted annual rate of 6.46 million from October, but sales declined 2.0% from the 6.59 million the same month last year.
Inventory for the month declined 9.8% to 1.11 million units from October and was 13.3% lower than the 1.28 million the same month last year. Unsold inventory is equivalent to a 2.1-month supply at the current sales pace.
The median existing-home price for the month stood at $353,000, marking a 13.9% increase from the $310,800 in November 2020. Prices posted growth in all regions, with the South noting the fastest appreciation.
NAR Chief Economist Lawrence Yun believes prices are likely to grow as the supply levels hover near record lows, as supply constraints continue to disrupt construction.