Existing home sales are up, prices are improving, inventory is tight, and housing is showing signs of improvement, but the sector has found its bottom and is not recovered, rather starting that long road toward a recovery.

Existing home sales continue rising, inventory levels continue to tighten

According to the National Association of Realtors (NAR), existing home sales continued to improve in November with low inventory supply pressuring home prices, rising 5.9 percent for the month, spiking 14.5 percent compared to November 2011. NAR reports that sales are at the highest level since November 2009.

Dr. Lawrence Yun, NAR chief economist, said there is healthy market demand. “Momentum continues to build in the housing market from growing jobs and a bursting out of household formation. “With lower rental vacancy rates and rising rents, combined with still historically favorable affordability conditions, more people are buying homes. Areas impacted by Hurricane Sandy show storm-related disruptions but overall activity in the Northeast is up, offset by gains in unaffected areas.” Read more…