Is the economy shifting gears towards making significant strides? If the latest housing market numbers are to be believed, it may appear that way. April resulted in home resales rising more than expected. Per the National Association of Realtors existing home sales saw an increase of over 1.5 percent to an annual rate of 4.5 million units. Forecasters suggested that home resales would rise to a 5.40 million-unit pace in April. Sales are also up by more than 5 percent compared to 2015.
It’s believed that the housing market is being assisted by the economy, which is currently approaching full employment. In some more positive news, housing starts around the country also saw larger than expected increases last month as builders increased their construction of multifamily and single family homes.
As for unsold homes currently on the market, they rose to just over 9 percent to a total of 2.14 million between March and April, though these numbers are actually more than 3 percent lower than those of last year, signifying that there is still a potential housing shortage. Based on the pace of sales in April, it would take about four months or so to clear up the current stock of homes currently on the market.
Around the country, median home prices held steady at $232,500, an increase of over 6 percent compared to 2015.
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