American citizens had spurred up home purchases last month amid a record-low mortgage rate, snapping up a 3-month-long slump catalysed by the pandemic-led rout, however, analysts said that the US housing market had not yet been out of the woods and could languish further over the coming months in the face of a steady spike in pandemic cases alongside a contraction in supply of homes up for sales.
In point of fact, according to the Wednesday statement from National Association of Realtor, the US existing home sales rose by a seasonally adjusted 20.7 per cent or 4.72 million, nonetheless, despite the monumental gain in US existing home sales last month, purchases had still been down by 11.3 per cent compared to the same time a year earlier, while US homes were being sold by 5.32 million units on an annualized basis.
US existing home sales still remain 20% below pre-pandemic level
Meanwhile, as a National Association of Realtor’s Chief Economist, Lawrence Yun had told that the US existing home sales had still been 20 per cent below from their pre-pandemic levels, addressing to a strong demand in the US housing market amid a record-low mortgage rate despite the pandemic-led economic downturn, an economist at Realtor.com, Danielle Hale said followed by the release of the report, “Buyers are out in force, but new listings remain the key to housing’s recovery.
More sellers are needed before we’ll see year over year gains in home sales. ” In tandem, the National Association of Realtor’s Wednesday’s statement had also added that the number of property listings had pummelled by 18.2 per cent on a year-on-year basis to 1.57 million unit, remarking the 13th straight month of shrinkage in supply on an annualized basis, while industry analysts were quoted saying that the likely shortages in supply of houses available for sales, would hinder the US housing market from substantially boosting up an ailing US economy that had entered into a recession back in February this year.