Existing-home sales climbed 11.8 percent from January to a seasonally adjusted annual rate of 5.51 million in February, according to the latest data from the National Association of Realtors (NAR). Despite the big uptick, sales were still down 1.8 percent year-over-year.

“A powerful combination of lower mortgage rates, more inventory, rising income and higher consumer confidence is driving the sales rebound,” NAR Chief Economist Lawrence Yun said in a statement.

Cheryl Young, the senior economist at Trulia said in a statement that the upward motion shows the housing market is beginning to rebound.

“With spring home buying season around the bend, sliding mortgage rates and moderating home prices will continue to boost demand and drive sales,” said Young. “30-year fixed-rate mortgages have fallen since the start of the year, and with the Fed’s meeting this week signaling a dovish outlook on the economy, suggest mortgage rates shows no signs of picking back up anytime soon.”

The median sales price jumped up year-over-year for the 84th straight month, but the increases are getting smaller. The median existing-home sale price was $249,500, up 3.6 percent from February 2018.

Inventory also continues to increase, with total housing inventory at the end of the month at 1.63 million, up 3.2 percent year-over-year. Unsold inventory is still only a 3.5-months supply, however.

“Withering existing-home sales and home price appreciation over the past year means that inventory is also accumulating and will bring more home buyers into the fold,” Trulia Senior Economist Cheryl Young said in a statement.

“Other indicators point to a slower housing market, which may bring some modicum of relief to prospective home buyers: for-sale homes are staying on the market longer after years of frenzied home buying, and price cuts on listed homes are on the uptick.”

“But still-high home prices and relatively low inventory will continue to present affordability pressures, especially for first-time home buyers,” Young added.

Developing…

Show Comments Hide Comments
Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Success!
Thank you for subscribing to Morning Headlines.
Back to top
×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription
×