Condo and Co-op Sales Set Record

Sales of existing condominiums and cooperatives set a new record in the third quarter at 971,000 units, a 12.9% jump from the previous record of 860,000 units for the second quarter, the National Association of Realtors reports.The "seasonally adjusted annual rate" figure for the third quarter is also 18% higher than the 823,000 unit sales activity for the third quarter of 2002. David Lereah, chief economist of the Washington-based Realtors' trade association, said the extent of the rise was surprising. "We were expecting a new record for condo sales in the third quarter, but being so far above the previous record is incredible," he noted. "The demand for all kinds of housing is unprecedented, and where units are available they're selling briskly." The median existing condo price for the third quarter was $167,200, which is 16.6% higher than the third quarter 2002 price, the NAR said. In comparison, the median price for existing single family homes was $177,000 for the third quarter, up 10.1% from a year ago. With a national average commitment rate on a 30-year fixed mortgage at 6.01% for the third quarter, according to a Freddie Mac, low interest rates have played a big part in the record-breaking sales.