Recent existing-home sales data shows a mixed picture across the country. From one month to the next, sales rose in the Northeast and South, held steady in the West and declined in the Midwest. Compared with the same period last year, activity was flat in the Northeast and South but slipped in both the Midwest and West, highlighting ongoing regional differences in housing demand.
According to NAR’s chief economist, the recent uptick in sales reflects the impact of lower mortgage rates in the fall, marking three consecutive months of improvement. At the same time, the supply of homes for sale is no longer growing as quickly, since very few distressed properties are coming onto the market and many homeowners are choosing not to sell. With home equity at record levels, sellers appear comfortable staying put through the winter, which could continue to limit inventory in the near term.
