Home Sales Should Stay Strong This Fall: MoxiWorks Report

Despite the ongoing coronavirus pandemic and the looming autumn season, a new report from real estate tech firm MoxiWorks suggests home sales will remain strong during the next month and a half.

The report indicates that in September of this year, 564,000 homes should sell in the U.S. That would be down 5 percent from 594,000 sales in August, but that drop-off would be considerably smaller than the historical average decrease of 14 percent from August to September. In other words, if MoxiWorks predictions come true, September should be considerably better than average when it comes to home sales.

The report additionally predicts that for all of 2021, the U.S. should see a total of 6.8 million home sales. That would almost equal “the all-time peak of 7 million home sales in 2005,” the report adds.MoxiWorks prior market prediction for August ended up being within 1 percent of what actually happened.

Government mortgage forbearance programs are ending, which will likely “introduce more inventory into the market.” Unlike during the Great Recession, most homeowners today have significant equity in their homes, meaning they’re more likely to sell than to default.And that, in turn, means that there could be a new infusion of inventory hitting the market sooner than might otherwise happen in the event of a foreclosure crisis.

Some of the markets whose recoveries from the pandemic started out slow showed signs of a strong recovery in August. The number of homes sold in New York City was up 65 percent year over year. New York’s Nassau County saw home sales grow by 32 percent over the previous August.

 

See full article at:K&Q Financial group