Home prices up, high-end sales increase in May

by Ryan Smith25 Jun 2014
The median sales price of U.S. properties was up in May as higher-end sales took a bigger share of the market, according to data released Tuesday.

The median sales price of U.S. properties – including both distressed and non-distressed properties – was $180,000 in May, according to housing analytics firm RealtyTrac. That’s up 6% from April and 13% higher than May of 2013. That’s the biggest annual increase since home prices hit bottom in March of 2012.

The median price of distressed sales was $120,000, 37% below the non-distressed median price of $190,000. Distressed sales and short sales were down, accounting for 14.3% of all U.S. residential sales last month. In April, distressed sales accounted for 15.6% of all sales.

“Distressed sales continue to represent a smaller share of the overall sales pie nationwide, helping to boost median home prices higher given that distressed sales tend to be in lower price ranges,” said Daren Blomquist, vice president at RealtyTrac. “When broken down by average price range, U.S. sales are clearly shifting away from the lower end. Properties selling below $200,000 represented 50 percent of all sales in May, but that was down from a 55 percent share a year ago. Meanwhile, the share of homes selling above $200,000 increased from a 45 percent a year ago to a 50 percent in May 2014.”

Higher-priced sales, meanwhile, increased as a share of total sales. The share of sales in the $200,000-$300,000 range was up 2% from April and 6% from May of 2013. The share of home sales above $750,000 was up more than 20% from May 2013.
 

COMMENTS

  • by Griff | 6/25/2014 12:59:50 PM

    USA Today had a similar article this week regarding higher end sales advancing while lower end sales (May 2013-May 2014) plummeting. My interpretation of this is two fold. Lower end buyers are suffering from income inequality and the lingering credit issues from the housing collapse/recession whereas to the 1% it is business as usual.

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