Single-family existing home sales jumped by almost 12% in December after rising 6.7% in November to end the year with a "strong finish," according to new figures released by the National Association of Realtors.
NAR reported that sales of previously owned single-family homes rose to a seasonally adjusted annual rate of 4.64 million in December, compared to a 4.15 million rate in November.
"The December pace is near the volume we're expecting for 2011, so the market is getting much closer to an adequate, sustainable level," said Realtors chief economist Lawrence Yun.
In terms of actual sales, Realtors sold 4.31 million existing single-family homes (not including condos and cooperatives) in 2010, the lowest reading since 1997.
On a year-over year basis, actual sales are down 5.6% from 2009. But the median existing single-family home price rose 0.6% to $173,200.
An NAR survey shows that distressed sales comprised 36% of existing home sales in December. Foreclosures made up 24% of single-family, condo and co-op sales and 12% were short sales.
NAR economists expect distressed sales will make up about 33% of total sales in 2011, about the same as last year.
Meanwhile, first-time buyers purchased 33% of the homes in December and investors accounted for 20% of sales. All-cash sales represented 29% of December's transactions. "All-cash sales have been consistently high at about 30% of the market over the past six months," Yun said.
Sales of Existing Single-Family Homes
