Existing Home Sales Soar in January 2016

January was a big month for existing home sales. The National Association of Realtors released their monthly existing-home sales report on Tuesday and the big news was rising home prices as well as strong sales.

Increased demand and short supply levels led to an 11-percent increase in sales and an 8-percent increase in median sales price year over year.

Nationally, sellers on saw their median sale price jump to $219,000, above the national average of $213,800. ForSaleByOwner sellers also saw time on market drop to 40 days, 24 days less than the national average. These sellers also enjoyed an average savings of $14,663 with a home selling on the leading by-owner website every 38 minutes.

Regionally, the West was the only area to see a decrease in sales from December, down 4 percent according to NAR. The Northeast and Midwest both saw double-digit increases over the same period in 2015.

The by-owner sellers who benefitted most in January were those in the Midwest who had median sales prices 13 percent higher than the national average. These sellers also saw their time on market decrease to 35 days.

Sales of new homes decreased by 5 percent from January 2015 and were down a little more than 9 percent from the previous month. This continued the recent “see-saw” pattern of new and existing home sales trending in opposite directions.

With January home sales performing so well in advance of the spring selling season, 2016 is shaping up to be another big year for existing home sellers.