Existing Home Sales made a very strong showing in June, up +3.2% from May and hitting an annualized pace of 5.49 million. That’s the strongest rate seen since the housing bubble days of 2007. May’s sales pace was also revised upward from 5.32 million to 5.35 million, which brings the year-on-year sales gain to +9.6%. Tight supplies remain an issue and are seen as the main factor behind a continuing surge in prices which hit an all-time record high of $236,400. At the end of June, supplies stood at 2.3 million, or a 5-month supply at the current sales pace, down from 5.1 months in May. Surging prices and low inventories seem to be weighing on the first-time-buyer market though as they accounted for just 30% of sales in June, a drop from 32% in May. Still, that’s better than the same time last year when they represented only 28% of the market.
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