Home Sales to Increase in 2013
National Association of Realtors forecasts total existing-home sales to increase 6.5% to 7% over 2012 to nearly 5 million sales this year while the national median existing-home price is estimated to increase about 7.5%. Pending Home Sales Index of NAR increased 7% to 105.7 in March 2031 on an annual basis. This is in accordance with the report from Housingwire that an uptick in homes owned by HUD, as a result of lenders clearing their delayed foreclosures, is expected to add homes to market inventory. This creates opportunities for patient investors.
According to S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices, average home prices increased 8.6% and 9.3% for the 10- and 20-City Composites in the 12 months ending in February 2013. Phoenix had the highest return of 23% on a year-over-year basis. Atlanta and Dallas had the highest annual growth rates in the history of these indices since 1992 and 2001, respectively.
30-year fixed-rate mortgage averaged 3.35%, and 15-year FRM week averaged 2.56% for the week ending May 2, 2013.