If you’re a homeowner who is thinking about making a move, ATTOM Data Solution’s most recent U.S. Home Sales Report has good news for you. That’s because the report – which looks at how much profit the typical home sale generated during the second quarter of this year – found that home sellers are seeing bigger profits than they did at the beginning of the year – and significantly more than at the same time last year. In fact, during the second quarter, the typical home sale generated a profit of $94,500. That’s up from $90,000 during the first quarter and $60,572 during the second quarter of 2020. In short, it’s a good time to sell a home. But while home seller profits are up, return on investment saw a slight decline. Todd Teta, ATTOM’s chief product officer, says it may be a sign that the market is finally starting to cool. “While it may just be a momentary thing in today’s volatile market, it’s definitely something to keep an eye on in case it’s a sign that the market is finally cooling or giving in to some of the economic forces connected to the virus pandemic,” Teta said. (source)
Archive for August 2021
Contracts To Buy Retreat After May’s Big Gains
The number of contracts to buy homes signed in June fell 1.9 percent from the month before, according to new numbers from the National Association of Realtors. In May, they were up 8 percent month-over-month. The dramatic swing continues an up-and-down trend pending sales have followed since the start of the year. Lawrence Yun, NAR’s chief economist, says the volatility is due, in part, to rising home prices. “Buyers are still interested and want to own a home, but record-high home prices are causing some to retreat,” Yun said. But while home prices are rising everywhere, contract signings are doing better in some regions than others. In fact, last month, pending sales were up in the Northeast and Midwest and down in the South and West. “The Midwest region offers the most affordable costs for a home and hence that region has seen better sales activity compared to other areas in recent months,” Yun explained. (source)
