Sales of previously owned homes rose 3.2 percent in May from one month earlier, according to new numbers from the National Association of Realtors. Sales were also up 3.2 percent from year-before levels. Dr. Lawrence Yun, NAR’s chief economist, says affordability has improved and buyers are noticing. “More Americans are on the move, with home sales rising to the highest level since December. This is great news for the housing market and the economy,” Yun said. “Improving affordability is helping drive this momentum. Even with mortgage rates ticking up compared to earlier in the year, they remain lower than a year ago and are essentially at the long-term historical average. Income gains are also outpacing home price growth by a small margin in most parts of the country.” In other words, home sales hit a high for the year in May, with improved affordability conditions, slower price increases, and lower mortgage rates than last year at this time. (source)
