Tag Archives: NAR

Existing-home sales reached a six-month high in January, but the combination of persistent tight inventory and rapid price appreciation in the housing market may make it tough for would-be homebuyers this spring.

While the backlog created by TRID delays has been cleared, it may be tough to repeat 2015's existing-home sales numbers in 2016.

As far as the U.S. housing market is concerned, it’s got a lot to live up to compared to 2015.

Just how much of an effect did TRID have—and was TRID the only factor?

NAR Chief Economist Lawrence Yun stated that "Unless sizeable supply gains occur for new and existing homes, prices and rents will continue to exceed wages into next year and hamstring a large pool of potential buyers trying to buy a home."

According to the NAR's Pending Home Sales Index (PHSI), contract signings decreased 1.4 percent to 109.4 in August, down from 110.9 in July. However, the index is still 6.1 percent higher that 103.1 recorded in August 2014.

Additionally, the index has increased year-over-year for 11 consecutive months and is the third highest reading of 2015, behind April (111.6) and May (112.3).

According to the NAR, price gains were recorded in 85 percent of metro areas in the first quarter. In addition, 34 metro areas experienced double-digit increases in the second quarter, a decline from the 51 metro areas in the first quarter.

Among the reasons for participating in a like-kind transactions, survey respondents and their clients noted deferral of capital gains taxes, equity to acquire additional properties, estate planning, portfolio diversification, and completion of a development project.

Yun expects a rebound heading into the summer, following April’s decline in existing-home sales, but the chance of significant gains will depend on an increase in inventory and evidence of moderating price growth now that interest rates have started to rise.