Sales of existing homes in October soared well past expectations, rising 4.3% compared with September and 26.6% annually to a seasonally adjusted annualized rate of 6.85 million units, according to the National Association of Realtors.
The NAR’s chief economist, Lawrence Yun, called the annual increase “a spectacular gain.”
The annualized sales rate is the highest since February 2006. The highest pace ever was in 2005 at 7.1 million units.
The data reflect closed sales representing contracts signed in August and September .
“It’s quite amazing. Even if the home sales were to go down to 6 million, I would be happy,” said Yun. “The surge in sales in recent months has now offset the spring market losses. With news that a COVID-19 vaccine will soon be available, and with mortgage rates projected to hover around 3% in 2021, I expect the market’s growth to continue into 2021.”
Yun forecasts existing