The US existing home sales slightly increased in December but dropped overall for the year 2014, marking the first annual decrease since 2010 and another sign that the country’s housing market recovery continues to be uneven amid expectations of a lift up this year.
According to the National Association of Realtors, the existing home sales in the country rose 2.4 percent to an annual rate of 5.04 million units in December.
NAR chief economist Lawrence Yun said, “This is mildly disappointing. There are so many factors to push this up.”
Several economists had made forecast of sales rising to a 5.06-million-unit pace.
The existing home sales dropped 3.1 percent to 4.93 million throughout the year 2014. That was the first annual decline in four years.
The country’s housing market has been struggling hard to maintain its momentum after remaining stagnate in the second half of 2013 following a run-up in rates of mortgage.
A fall in mortgage rates, an easing of lending standards and the resurgent health of the American economy in the last few months has spurred a sense of positivity about the strengthening sales this year, mainly among first-time homebuyers.
The median existing price of homes was USD 209,500 in December last year, a six percent surge from the same period a year ago. the prices have increased especially due to a tightening housing supply.