Existing-home sales, despite a modest decline in August, jumped back in September to their highest annual pace of the year, according to the National Association of Realtors.
Total combined transactions of single-family homes, townhouse, condominiums and co-ops increased 2.4 percent to a seasonally adjusted annual rate of 5.17 million from 5.05 million the month prior. The figure is still 1.7 percent below the 5.26 million-unit level from last September. All regions except for the Midwest took part in September's gains.
“Low interest rates and price gains holding steady led to September’s healthy increase, even with investor activity remaining on par with last month’s marked decline,” said NAR Chief Economist Lawrence Yun in a statement. “Traditional buyers are entering a less competitive market with fewer investors searching for available homes, but may also face a slight decline in choices due to the fact that inventory generally falls heading into the winter.”
The median existing-home price was $209,700, or 5.6 percent higher than the same period last year.
After falling for four months, the average commitment rate for a 30-year, conventional, fixed-rate mortgage rose to 4.16 percent in September from 4.12 percent in August. Interest rates are still 33 basis points less than a year ago (4.49 percent), according to Freddie Mac.
