Home resale has increased in December but decreased overall in in 2014 for the first annual decrease since 2010. The December increase suggests a pick-up in home resales in 2015. Prices have also increased as a result of a smaller supply of homes. The median price for December was $209,500, an increase of 6 percent from the price a year ago.
“This is mildly disappointing. There are so many factors to push this up,” said National Association of Realtors chief economist Lawrence Yun.
The housing market hiccupped in the last half of 2013 as mortgage rates increased, but an upturn is anticipated in the coming year. A decrease in mortgage rates, easing of lending rates, and fairly strong economic growth in the past few months point to an increase in sales especially to first time buyers.
Read More – U.S. Existing Home Sales Increase for December, Down For 2014 (Reuters, Lindsay Dunsmuir)