An early projection of existing home sales by Ten-X indicates a slight increase in March.
Ten-X’s Nowcast estimates March sales of existing homes will be between seasonally adjusted annual rates of 5.41million and 5.77 million, with a targeted number of 5.59 million.
If that forecast holds true, the 5.59 million existing homes sold in March would be a 2 percent increase from February 2017 and a 4.6 percent increase from a year ago.
“As we enter the important spring selling season, consumer demand appears to be strong. The big question is whether there will be enough homes for sale to meet that demand," Ten-X Executive Vice President Rick Sharga said in a press release.
“The underlying fundamentals of the market remain solid. Job and wage growth are strong and interest rates remain low despite a slight uptick after the Fed move. But inventory - especially of entry-level homes - remains stubbornly low,” Sharga added.
Nowcast estimates that median existing-home sales in March will be between $220,885 and $244,136, with a target price point of $232,51. That would be a1.8 percent increase from February and a 4.4 percent increase from one year ago.
“Looking forward, it's possible that higher mortgage rates may contribute to more affordability obstacles for would-be homebuyers. In the meantime, the US housing market will continue to forge ahead in a jagged fashion as the solid labor market supports demand,” Sharga said.