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According to the National Association of Realtors, current home sales rose 0.8% in October to a seasonally adjusted rate of 6.34 million units, the fastest pace since January, but down 5.8% year-over-year.

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Sales of single-family homes increased 1.3% month-over-month, but declined 5.8% year-over-year from a seasonally adjusted annual rate of 5.66 million in October, while existing condo and co-op sales fell 2.9% month-over-month and 5.6% year-over-year at a seasonally adjusted annual rate of 680,000 units.

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Properties generally remained in the market for 18 days in October, up from 17 days in September and down from 21 days in October 2020. About 82% of homes sold in October 2021 were in the market for less than a month.

Meanwhile, total housing inventory fell 0.8% month-on-month and 12% year-on-year to 1.25 million units in October. Unsold inventory, which is at 2.4 months’ supply at the current sales pace, remains unchanged from the previous month and is down from 2.5 months a year ago.

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The median current home value rose 13.1% year-over-year to $353,900 in October, a record 116 straight months of year-over-year growth. The average current single-family home price rose 13.5% year-over-year to $360,800 in October, while existing condo prices rose 8.7% year-over-year to $296,700.

Current home sales in the Midwest climbed 4.2% month-over-month but fell 6.3% year-over-year and current home sales in the South rose 0.4% month-on-month but fell 3.5% year-over-year . Current home sales in the Northeast fell 2.6% month-on-month and 13.8% year-on-year, while current home sales in the West remained steady month-on-month, but down 5.1% year-on-year.

Average value increased 16.1% year-over-year in the South to $315,500, the Midwest increased 7.8% year-over-year to $259,800, the West increased 7.7% year-over-year to $507,200 and 6.4% year-over-year . $379,100 at Northeast.

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NAR’s chief economist Lawrence Yoon attributed the current home sales growth to continued job growth, a stock market’s all-time high and rising, but still historically low mortgage rates helping to drive home sales. . During the first 10 months of the year, home sales are up 11% compared to last year and 13% higher than the same period in 2019.

“We’re moving smoothly for an annual total of at least 6 million this year, which would be the best performance in 15 years,” Yoon said.

However, he warned inflationary pressures, such as rapidly rising rents and rising consumer prices, could lead to some potential buyers who want the security of a fixed, consistent mortgage payment. According to Freddie Mac, the average commitment rate for a 30-year, traditional, fixed-rate mortgage was 3.07 in October, up from 2.90% in September.

First-time home buyers accounted for 29% of existing home sales in October, down from 28% in September and 32% in October 2020, while individual investors or second home buyers bought 17% of homes in October, 13 up from % in September and 14% in October 2020. All cash sales accounted for 24% of transactions in October, up from 23% in September and 19% in October 2020.

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