The median home price was $205,300 in November. This was a 1.1% drop from the previous month, but is still 5% up from the same month of the previous years. In 2014, we've seen housing prices return to sustainable growth rates in the 4-6% range. This pattern will likely continue in 2015, with some potential for slightly slower year-over-year gains, depending on how inventory and new home construction develop next year.
The seasonally adjusted annual rate of existing home sales declined to 4.93 million homes in November. This was a 6.1% decline from the previous month but was still 2.3% above the rate of home sales from November of the previous year. The year 2014 has been a solid year for existing home sales coming off of the previous year's jump in both sales in prices. We look for 2015 to be another solid year for home sales.
The number of homes available increased 2% compared to the same month of the previous year, with 2.09 million homes available for sale in November. This translated to 5.1 months of supply, as the slower sales pace moved in line with inventory levels. As we move into the cooler months of the year, we will likely begin to see inventory continue to tighten slightly.
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