After three consecutive months of decline due to the COVID-19 pandemic, existing home sales made a comeback in June.
In a one-month span, the market increased by more than 20 percent.
Sales jumped to a seasonally adjusted annual rate of 4.72 million units, up from 3.91 million units in the previous month of May.
Overall, however, sales of single-family homes were slightly down on an annual basis and are somewhat behind projections, according to the National Association of Realtors.
Despite not meeting expectations and the national health emergency, the increase set a record pace for sales.
The recovery of single-family home and condominium sales is strong because of buyer sentiment and market conditions, including ultra-low interest rates.
Economists believe the market revitalization is sustainable so long as interest rates stay low and job gains continue.
The Boise region is also experiencing positive growth in the real estate market. Across the United States, the median price has risen by 3.5 percent, demonstrating an eagerness from both buyers and sellers to engage in this exciting time for housing.
Inventory is also up. In May, home availability beat last year’s number by nearly 2 percent.
While still not at ideal levels, the inventory appeared to lag even before the pandemic. In addition, the market experienced rapid price increases and strong buyer competition.
Another positive stat from this time period is the number of days homes remained on the market. About 62 percent of listed homes sold under 30 days.
First-time buyers are moving and shaking. They accounted for 35 percent of sales in June, a pattern they followed in the previous two months.
In another trend, buyers prefer a move to the suburbs after a decade of targeting urban living.
Our premier group of experienced home loan professionals at Team Mandi are ready to lend a helping hand.
While the market continues to show signs of strength, it’s understandable that you may feel a little hesitant given the circumstances.
Our high level of customer education, mortgage knowledge and home loan efficiency will give you the confidence to follow through and succeed in today’s market.
Please reach out to us today to learn about the Boise market and what to expect. We’ll be happy to answer all your questions and offer our advice.