Home sales this month rose 7.8% from last month to a seasonally adjusted rate of 4.82 million units, a 9.3% increase from last year.
Distressed homes (which include short sales and foreclosures that traditionally sell for 15%-20% less on average compared to nondistressed homes) accounted for 22% of August sales, down from 25% of sales last month and 31% of sales last year. Although the amount of distressed properties is decreasing from month to month, they are still high by historic standards.
Home prices continue to rise due to shrinking inventory and an increase in demand. The current median home price is $187,400, up 9.5% from a year ago and down just 0.2% from last month. This has been the six consecutive month of year-over-year price gains, the largest year-to-date rise since 2005.
Thank you to George Freelove with Keller Williams Realty