Industry News
As members of the North Central Jersey Association of Realtors (NCJAR), staying informed about the national housing market trends is crucial for guiding clients effectively. The latest report from the National Association of REALTORS® (NAR) reveals noteworthy developments in existing-home sales, offering valuable insights into the state of the market as we begin 2025.
Key Highlights
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Sales Growth: December saw a 2.2% increase in total existing-home sales compared to November, with a seasonally adjusted annual rate of 4.24 million. This marks a significant 9.3% year-over-year growth from December 2023.
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Annual Trends: Despite the December rebound, 2024 recorded the lowest annual existing-home sales volume since 1995 at 4.06 million. However, the median home price hit a record high of $407,500.
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Inventory Levels: Total housing inventory at the end of December stood at 1.15 million units, down 13.5% from November but up 16.2% year-over-year. The unsold inventory represented a 3.3-month supply at the current sales pace.
Regional Performance
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Northeast: Sales climbed 3.9% month-over-month to an annual rate of 530,000, up 10.4% from December 2023. The median price surged 11.8% to $478,900.
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Midwest: Sales slipped by 1.0% in December to an annual rate of 990,000 but still rose 6.5% year-over-year. The median price increased by 9.0% to $298,600.
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South: A 3.2% monthly sales increase brought the annual rate to 1.93 million, reflecting a 9.0% year-over-year rise. Median prices grew 3.4% to $361,800.
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West: Sales increased 2.6% month-over-month to an annual rate of 790,000, up 12.9% year-over-year. The median price rose by 6.0% to $614,500.
As tax season approaches, NCJAR is thrilled to share a valuable opportunity tailored to our members. The February 2025 Tax Summit, hosted by the Center for REALTOR® Financial Wellness and sponsored by IRAR Trust Company, is a must-attend virtual series designed specifically to help REALTORS® navigate the complexities of the 2024 filing year, reduce stress, and maximize their earnings.
In today’s ever-changing tax landscape, staying informed is more critical than ever. That’s why we’re bringing in Greg Antipoff, a renowned CPA and real estate tax strategist, to share practical insights and strategies to help REALTORS® stay ahead of the curve. This four-part series is packed with actionable advice and expert guidance to empower your financial success.
Summit Details
- Dates: Wednesdays, February 5, 12, 19, 26
- Time: 10:00 AM PT | 11:00 AM MT | 12:00 PM CT | 1:00 PM ET
- Duration: 1 hour per session
- Cost: $59 for members | $69 for non-members
- Access: All sessions will be recorded for on-demand viewing
Realtors®, staying informed on changes to the NAR Code of Ethics is vital to maintaining professionalism and upholding the trust of your clients and community. The National Association of Realtors® (NAR) has implemented several key updates for 2025. Here's what you need to know:
- Clarified Standards on Discriminatory Practices
NAR has strengthened the language in Article 10 to further prohibit discriminatory practices. Realtorsimg alt="®️" s" w" h" /" must ensure that all clients are treated equally, regardess of race, color, religion, sex, handicap, familial status, national origin, sexual orientation, or gender identity. - New Guidance on Social Media Use
Standard of Practice 15-5 now provides explicit guidance on maintaining professionalism in digital communications. Realtors® are reminded to avoid making false, misleading, or defamatory statements about competitors and to exercise care in all social media interactions. - Updated Hearing Procedures
Changes to the Professional Standards process include improved timelines for ethics and arbitration hearings. These updates aim to streamline dispute resolution while maintaining fairness and transparency.
The housing market is showing strong momentum, with pending home sales increasing for the third straight month in October 2024, according to the National Association of REALTORS® (NAR). All four major U.S. regions experienced month-over-month growth in contract signings, with the Northeast leading the charge. Year-over-year, pending transactions saw a rise across the board, with the West showing the largest growth.
Key Metrics at a Glance
The Pending Home Sales Index (PHSI), a key forward-looking indicator of home sales based on contract signings, rose by 2.0% to 77.4 in October. This marks a 5.4% increase year-over-year, signaling a resurgence in homebuying activity. For context, an index score of 100 represents the contract activity level of 2001, a historically strong year for real estate.
Lawrence Yun, NAR Chief Economist, noted:
"Homebuying momentum is building after nearly two years of suppressed home sales. Even with mortgage rates modestly rising despite the Federal Reserve's decision to cut the short-term interbank lending rate in September, continuous job additions and more housing inventory are bringing more consumers to the market."
Adding to the positive trend, SentriLock lockbox openings—a measure of buyer activity—rose 7% in October compared to last year.
Regional Breakdown: Northeast Leads the Way
Here’s a closer look at the performance by region:
- Northeast: The PHSI surged 4.7% month-over-month to 68.7, marking a 7.2% increase from October 2023.
- Midwest: Contract signings climbed 4.0% to 77.8, up 1.8% year-over-year.
- South: The index edged up 0.9% to 90.0, a 2.5% annual gain.
- West: While showing only a 0.2% monthly increase to 64.1, the region recorded the strongest annual growth at 16.8%.
Yun highlighted the significance of these gains, especially in the Northeast and West, noting:
"It's encouraging to see contract signings increasing in all major regions of the country. More notable gains from a year ago occurred in the expensive regions of the Northeast and West. The record-high stock market is providing a boost for upper-end home buyers."
