The median sales price of single-family existing homes rose in 99% of 183 measured market areas in the third quarter, according to the latest metro data from The National Association of Realtors…(NAR)
- The median sales price of single-family existing homes climbed 16% from one year ago to $363,700
- Important to note that this was a slower pace than the preceding quarter which reported 22.9% year-over-year growth.
Regionally, the Northeast led the way in Q3 with a reported 17.5% year-over-year growth followed by
- The South had the second best reported growth at 14.9% followed by the Midwest (+10.7%), and the West (+10.3%)
78% of markets experienced double-digit year-over-year growth and three metro areas saw annual appreciation of 30%.
- Three markets were up more than 30% with the top spot going to Austin-Round Rock, Texas (+33.5%) followed by Naples-Immokalee-Marco Island, Fla. (+32.0%) and Boise City-Nampa, Idaho (+31.5%).
TWO COMMA CLUB: Four markets have median home prices over a million dollars. San Jose-Sunnyvale-Santa Clara, Calif. took the top spot($1,650,000) followed by San Francisco-Oakland-Hayward, Calif. ($1,350,000), Anaheim-Santa Ana-Irvine, Calif($1,100,000), and Urban Honolulu, Hawaii ($1,047,800).
AFFORDABILITY: In the third quarter, the average monthly mortgage payment on an existing single-family home rose to $1,214. This is an increase of $156 from one year ago. This happened despite mortgage rates falling 9 basis points to 2.92% from one year ago.
- For first-time buyers, the typical mortgage payment on a 10% down payment loan increased to 25.2% of the median family income. This is up from 22.6% one year ago). It’s important to remember that a mortgage is considered affordable at 25%.
Lawrence Yun, Chief Economist at NAR, said that rising rates and inventory should slow prices even more in the future…
- “Home prices are continuing to move upward, but the rate at which they ascended slowed in the third quarter…I expect more homes to hit the market as early as next year, and that additional inventory, combined with higher mortgage rates, should markedly reduce the speed of price increases.”
