Existing home sales decrease slightly in april as prices continue to rise according to the Ten-X Residential Real Estate Nowcast
Ten-X Residential Nowcast model projects April existing home sales of 5.66 million units (SAAR) and a median sales price of $242,158
IRVINE AND SILICON VALLEY, CA (April 28, 2017) — Ten-X, the nation’s leading online real estate transaction marketplace, has released its latest Ten-X Residential Real Estate Nowcast which indicates a slight decrease in April existing home sales. According to the nowcast, April sales will fall between 5.4 and 5.76 million with a targeted number of 5.66 million, down 0.7 percent from NAR’s reported March sales.
“We anticipated a strong Spring selling season, driven primarily by pent-up demand and accelerating household formation numbers, and sales activity in March and April has been the best we’ve seen in awhile,” said Ten-X Executive Vice President Rick Sharga. “But some of this activity may also be due to buyers jumping into the market before interest rates rise any higher, so it’s possible that we may see sales slow down later in the year.”
Last month, the Ten-X Nowcast projected home sales to improve after February’s slight dip and the recent report from The National Association of Realtors® (NAR®) confirmed this. NAR reported that existing home sales in March rose to a seasonally adjusted annual rate (SAAR) of 5.71 million units, a 4.4 percent gain from February’s revised number and up 5.9 percent from a year ago.
Last month’s Ten-X Nowcast also predicted another solid year-over-year gain in existing home prices, which was confirmed by the NAR report, as the median existing home price for all housing types rose 6.8 percent year-over-year to $236,400 in March. This marks the 61st consecutive month of year-over-year price gains. The April Ten-X Residential Real Estate Nowcast predicts that median existing home prices will continue to make annual strides falling between $230,050 and $254,266 with a target price point of $242,158 up 2.4 percent from March and a 4.2 percent gain from last year.
“The US housing market continues to advance, owing to a strong labor market and rising wages,” said Ten-X Chief Economist Peter Muoio. “Though low inventory levels remain a constraint and have spurred strong price gains, further eroding affordability, demand remains healthy and housing fundamentals continue to improve.”
Ten-X is the nation's leading online real estate transaction marketplace and the parent to Ten-X Homes, Ten-X Commercial and Auction.com. To date, the company has sold 260,000+ residential and commercial properties totaling more than $43 billion. Leveraging desktop and mobile technology, Ten-X allows people to safely and easily complete real estate transactions online. Ten-X is headquartered in Irvine and Silicon Valley, Calif., and has offices in key markets nationwide. Investors in the company include CapitalG (formerly Google Capital) and Stone Point Capital. For more information, visit Ten-X.com.
About the Ten-X Residential Real Estate Nowcast Model
The Ten-X Residential Real Estate Nowcast combines industry data, proprietary company transactional data and Google search activity to predict market trends as they are occurring – weeks before the findings of other benchmark studies are released. Building upon the groundbreaking work by Google Chief Economist Hal Varian, Ten-X’s nowcast model extends a traditional autoregressive-forecasting model to incorporate contemporaneous information that provides significantly enhanced accuracy.