Are Rising Mortgage Rates Fueling Home Sales?

Rising mortgage interest rates may have finally convinced perspective home buyers who have been sitting on the fence that now may be the best time to purchase a home as sales over the past thirty days jumped by more than 11k transactions compared to a week ago according to the National Home Sales Snapshot released by DataQuick.

There were 252,719 properties sold over the previous thirty-day rolling period ending July 11th, up 4.7 percent from the previous week’s total of 241,449 sold properties and 11.3 percent higher than the 227,145 properties sold four weeks ago.

Sales volume was 14.0 percent above last year’s cycle peak of 221,695 sales which occurred during the 30-day rolling period prior to September 13th of last year.

Last week’s home sales volume was 12.9 percent higher than the 223,839 homes sold during the same period a year ago and was 9.0 percent higher than during the same period three years ago when 231,927 homes were sold.

The median price of a home sold over the current thirty-day rolling period increased by $2,900 to $222,900. Four weeks ago the median home price was $215,000.

Home prices were 12.6 percent higher than during the same period a year ago when the median price of a home was $198,000 and were 17.3 percent higher than what they were three years ago when the median price was $190,000. It was the 65th consecutive week that year-over-year home prices surpassed the previous year’s levels.

DataQuick Weekly Snapshot 07-15-13

Over the last five years, median home prices nationwide have ranged from a high of $275,000 to a low of $168,500.

Home sales volume over the last seven years has ranged from a high of 339,669 properties sold to a low of 124,051.

The National Home Sales Snapshot includes 98 out of the top 100 metropolitan statistical areas covering 66.25 percent of U.S. home sales.

Tags: DataQuick, home sales, median home price, sales volume

Source:
DataQuick

Reported by Chris Moore