Dissecting What’s Left of 2015 for the Housing Market

CaptureIt’s December.

Those two words are trending on Twitter this morning as many (like myself) wonder how we’re already at the final month of 2015.

What has been the bright spot for you this year? For the housing market, 2015 can be referred to as the “break out.” Through October, existing-home sales are on track for their best year since 2006.

The reason? Jobs…and plenty of them. Over the past 12 months, an impressive 2.8 million net new jobs have been added to the economy. Solid job growth in local communities increases consumer confidence and solidifies potential buyers’ belief that it’s a good time to buy a home.

After yesterday’s report on October pending home sales and job growth likely to hold steady, sales momentum is expected to keep pace through December. Contract activity has now increased year-over-year for 14 straight months despite limited inventory and fast price growth all year in some markets.

To put a number on it, NAR chief economist Lawrence Yun forecasts for existing-home sales to close out the year at a 5.30 million sales pace, which is a 7.3 percent increase from 2014 and a 30 percent increase from 2008.

No matter how you look at it, that’s real progress.