Home Sales Were Up During May

By: First Union

resources

Home Sales Were Up During May

As reopenings across the nation continue, one market is experiencing something of a surge which, given the circumstances, is rather unexpected—even by experts. The month of May saw home sales up by almost 17%. With the nation still in the process of a slow and steady recovery, the fact that home sales were so robust last month was quite a shock. Some suggest that it is the feeling of hopefulness many are experiencing now that reopening is taking place that ultimately led to so much real estate activity.

According to statistics released by the Commerce Department earlier this week, the sales of new single-family homes rose to just under 700k thousand last month. Again, these numbers are encouraging especially given the situation that the country is currently in. Several prominent economists predicted the opposite. Because of the slower-to-open stance taken by quite a few states, they were forecasting a housing downturn for May.

That said, it wasn't all positive news on the housing front for May. The sales of existing homes did plunge. The existing home sale rate fell to 3.9 million which represents the slowest pace of such sales the US has seen in over ten years.

Overall, experts are optimistic though that these solid numbers demonstrate the fact that the economy seems to be on the right path. During March and April, real estate activity slowed down immensely. However, to see it rise so sharply in May is most definitely a good sign. The main hindrance moving forward, according to some, is going to be the unemployment rate. With millions still out of work, this could ultimately lead to a reversal of May's numbers in the summer months. Many are saying that over the long term 2020 is likely going to see a decline in home sales with some bright spots along the way such as we saw during May.

One economist was recently quoted as saying: "The slow recovery in the labor market will limit the upside of any rebound in the housing market." Still, May's numbers were nearly thirteen percent higher than they were last year. Plus, median sale prices rose by 4.9% after having tumbled by almost nine percent in April—largely because builders were discounting home prices at that time. Many of course are hoping that the trend continues as signs do seem to be pointing in a positive direction in terms of housing, at least for right now.

First Union Lending is here to help. We want to see our clients thrive during this difficult time which is why we offer fast and flexible loan programs. Even if your credit score isn't ideal, we likely still have a solution that could work for you. We offer short term loans, lines of credit, and merchant cash advances, among other such funding options. And some receive the money in as little as two days. Call today and let's get you the cash you need!

Becky: Hi! Let's find the best loan option for you

Google 4.8 star rating
Trustpilot 4.6 star rating

First Union Lending LLC is a dually licensed Lender/Broker with its main offices located at 4900 Millenia Blvd First Floor Orlando, FL 32839. First Union Lending LLC and its ads are meant for continental United States, including Alaska and Hawaii small business owners. Business Loans offered by First Union Lending LLC have varying rates and terms that can range from 30 - 120 payments and all rates and terms are based on eligibility of the business and its owners. The actual terms are based on credit, business history, industry, amount and terms. As an example, a $5,000 loan paid over 5 years at 8% would have a total repayment of $6,082.92 over the life of the loan. We use the latest encryption to protect sensitive information transmitted online, as well as run our own secure server network to ensure your information is protected offline as well. California loans made pursuant to the California Financing Law, Division 9 (commencing with Section 22000) of the Finance Code. All such loans made through VBJ Consulting, LLC, a licensed finance lender/broker, California Financing Law License No. CFL#60DBO78163

Copyright © First Union Lending, LLC. 2023