Sales of existing homes rose 8.5% in 2021, totaling 6.12 million, the National Association of Realtors reported. This as inventory levels fell to an all-time low of 910,000.
House hunters have enjoyed near-record low mortgage rates as they look to trade up or become first-time homebuyers. The fixed rate for a 30-year mortgage has ticked up to 3.56% from 2.77% a year ago but remains attractive. The average loan size of a mortgage hit a new record last week of $418,500, according to the Mortgage Bankers Association.
Although sales in December cooled, falling 4.6% to 6.18 million, the market remains tight with 30% of sales driven by first-time homebuyers.
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