The National Association of Realtors Says Existing Home Sales Plummet 7.2% For First Quarter 2022
The NAR is say that each of the four major U.S. regions saw sales fall in February. They also say that sales activity year-over-year was also down overall. However, the South experienced an increase while the remaining three regions reported drops in transactions.
Total existing-home sales completed transactions sank 7.2% from January. This number represents an adjusted annual rate of 6.02 million homes in February. Year-over-year, sales decreased 2.4%.
The median existing-home price for all housing types in February was $357,300. This is also am increase of 15% from the February 2021 price of $310,600. February marks 120 consecutive month of year-over-year increases.
Properties typically remained on the market for 18 days in February. This is down from 19 days in January and 20 days in February 2021. 84% of homes sold in February 2022 were on the market for less than a month.
First-time buyers were responsible for 29% of sales in February. This is up from 27% in January and down from 31% in February 2021.
Individual investors or second-home buyers purchased 19% of homes in February. This is down from 22% in January but up from 17% in February 2021. All-cash sales accounted for 25% of transactions in February. This is down from 27% in January and up from 22% in February 2021.
Distressed sales aka foreclosures and short sales represented less than 1% of sales in February. This is equal to the percentages seen in both January 2022 and February 2021.
Existing Home Sales Plummet For Single-Family and Condo/Co-ops Have Dropped As Well
Single-family home sales also dropped to an adjusted annual rate of 5.35 million in February. This is down 7% from 5.75 million in January and down 2.2% from one year ago. The median existing single-family home price was $363,800 in February was up 15.5% from February 2021.
The report also shows 670,000 existing Condos and co/ops were sold in February. This is down 9.5% from 740,000 in January and down 4.3% from one year ago. The median existing condo price was $305,400 in February. This is an annual increase of 10.9%.
Regional Breakdown For Existing Home Sales
Existing-home sales in the Northeast slipped 11.5% in February registering an annual rate of 690,000 units. This is also a 12.7% drop from February 2021. The median price in the Northeast was $383,700, up 7.1% from one year ago.
Existing-home sales in the Midwest sagged 11.3% from the prior month to an annual rate of 1,330,000 in February. As a result, this is a 1.5% decrease from February 2021. The median price in the Midwest was $248,900, a 7.5% climb from February 2021.
Existing-home sales in the South fell 5.1% in February from the prior month. However, this is an increase of 3.0% from one year ago. The median price in the South was $318,800. This also an 18.1% jump from one year prior. For the sixth straight month, the South also experienced the highest pace of price appreciation compared to the other regions.
Existing-home sales in the West slid 4.7% from the previous month with an annual rate of 1,210,000 in February. This is also down 8.3% from one year ago. The median price in the West was $512,600 which is up 7.1% from February 2021.