Sales of existing homes were 5.64 million in 2020, the best in 14 years, rising 5.6% from the prior year and the most since “before the Great Recession,” according to the National Association of Realtors. Last month, sales saw an uptick of 0.7% to 6.76 million, while total sales jumped 22.2% from a year ago.
|XHB||SPDR SERIES TRUST SPDR S&P HOMEBUILDERS ETF||63.35||+1.31||+2.11%|
"Home sales rose in December, and for 2020 as a whole, we saw sales perform at their highest levels since 2006, despite the pandemic," said Lawrence Yun, NAR's chief economist. "What's even better is that this momentum is likely to carry into the new year, with more buyers expected to enter the market."
Courtesy: Freddie Mac
Mortgage rates continue to hover at record lows, helped by the Federal Reserve's ongoing pledge to keep interest rates near zero.
A 30-year fixed-rate mortgage sits at 2.77%, as tracked by Freddie Mac.
The combination pushed prices up 12.9% with the average home sale being $309,800.