Earlier this week, we posted a blog detailing August’s home sales here in Middle Tennessee. Click here to read more about that.
Now, more news has come out that as a whole, in August, U.S. home sales rose to their highest level since February 2007. Part of that could be due to buyers trying to quickly close on deals before interest rates rise.
The National Association of Realtors says sales of previously-occupied homes rose 1.7 percent to a seasonally adjusted annual rate of 5.48 million in August. That level is consistent with a healthy market.
August sales reflect contracts signed in June and July, when mortgage rates were rising steadily. The Realtors’ group cautioned that buyer traffic dropped off significantly in August. That means sales could slow in the months ahead. Home sales are forecasted to average 5.2 million in 2014.
Home prices rose as the supply of available homes remained tight. There were 2.25 million homes for sale last month, down 6 percent from a year earlier.