National inventory tally drops 14 percent
Thursday, May 23, 2013
Existing-home sales rose in April but remain below underlying demand because of limited inventory and tight credit, according to the National Association of REALTORS®. Total existing-home increased 9.70 percent above April 2012, while the median price increased 11.00 percent.
Lawrence Yun, NAR chief economist, said the market is solidly recovering. "The robust housing market recovery is occurring in spite of tight access to credit and limited inventory. Without these frictions, existing-home sales easily would be well above the 5-million unit pace,” he says.
Total housing inventory at the end of April rose 11.9 percent, which represents a 5.2-month supply at the current sales pace. Listed inventory is 13.6 percent below a year ago.
Distressed homes – foreclosures and short sales – accounted for 18 percent of April sales.