October 2020

Friday, October 30, 2020

Home sales were up for the fourth consecutive month in September. The market continued its high-performance recovery, reaching 5,202 units. This was up 16% over September 2019Sept 2020 (4,489). Year-to-date sales are once again in record territory as they now stand at 41,083 up over 6% from last year’s mark.

Total existing-home sales, completed transactions that include single-family homes, townhomes, condominiums and co-ops, rose 9.4% from August to a seasonally adjusted annual rate of 6.54 million in September. Overall sales rose year-over-year, up 20.9% from a year ago (5.41 million in September 2019).

"Home sales traditionally taper off toward the end of the year, but in September they surged beyond what we normally see during this season," said Lawrence Yun, NAR's chief economist. "I would attribute this jump to record-low interest rates and an abundance of buyers in the marketplace, including buyers of vacation homes given the greater flexibility to work from home."

Sept 2020 YTDThe median sale price of homes in Kentucky dipped only slightly from last month, holding at $199,000. This is up from $175,000 in September 2019. The statewide average home price was up nearly 15% at $233,836. “These higher home prices continue to be mitigated by record-low interest rates”, said Lester T. Sanders, President of Kentucky REALTORS®. “However, I’m afraid we may be at the ceiling for that relief. Those that are able to borrow are definitely going to encounter a market with higher prices and more competition. Furthermore, diminishing housing affordability could cause others to encounter a more difficult market to enter.”

Sales volume was also up for the third consecutive month. A 33% surge saw that figure top out at $1.22 billion (up from $914 million in September 2019). 2020 Year-to-date sales volume at the end of the third quarter stands at $9.05 billion. Last year’s volume through Q3 was $7.9 billion.

The elevated sales activity means the number of homes available on the market remains at critically low levels. At the current pace, it would take just 1.8 months to sell all of the homes on the market right now. September of last year saw that number at 3.9 months. The pending sales figure of 8,672 bears this out as that figure is up 33% over last year’s level.

Distressed sales (foreclosures or short sales) were down 77% over last year. Just 21 units sold as distressed, identical to last month’s figure.

Monday, October 12, 2020

Home sales were up for the third consecutive month since the housing market roared back to life in June. 5,475 closings took place in Kentucky, up almost 7% over August of 2019. That follows an almost 15% increase experienced in July. Year-to-date sales surged to 35,705, up 4% from August of last year.

Nationally, total existing-home sales, completed transactions that include single-family homes, townhomes, condominiums and co-ops, rose 2.4% from July to a seasonally adjusted annual rate of 6.00 million in August. Sales as a whole rose year-over-year, up 10.5% from a year ago (5.43 million in August 2019).

"Home sales continue to amaze, and there are plenty of buyers in the pipeline ready to enter the market," said Lawrence Yun, NAR’s chief economist. "Further gains in sales are likely for the remainder of the year, with mortgage rates hovering around 3% and with continued job recovery."

The median sale price of homes in Kentucky soared 15% to $199,900 (up from $175,500 just one year ago). The statewide average home price climbed to $236,169. For the second consecutive month, sales volume surged over 20%. That figure reached $1.3 billion, up from $1.06 billion in August 2019. This continues the 2020 sales volume hot streak and pushes the year-to-date sales volume almost 12% ahead of 2019’s figure at $6.98 billion.

The number of homes available on the market still hovers at near all-time lows with 1.74 months of inventory in August. This figure is down over 40% for the third consecutive month and down almost 48% over August 2019.

“REALTORS® continue to assist Kentuckians with, arguably, the most important investment of their lives”, said Lester T. Sanders, President of Kentucky REALTORS®. “Whether COVID-19 and related circumstances has changed their situation, or whether record low interest rates have inspired a decision, REALTORS® are there when we needed to help facilitate smooth and successful transactions.”

Distressed sales (foreclosures or short sales) were down almost 80% over August of 2019. This amounted to only 21 units as programs seem to be helping homeowners to remain in their property.