U.S. home sales went up to reach its first year-on-year high in September 2014, according to RE/MAX's National Housing Report.
Bucking a seasonal trend, home sales across the 52 metro regions analyzed declined 10.4 percent from a month ago, but this was the first time that the figure reached a level higher - 0.9 percent - than that recorded at the same time a year ago.
The Re/Max report notes that home sales have been below last year's levels in 2014, but September's figures paint a bright picture for the housing market. In September, 32 metro areas that include Nashville, Tulsa and Orlando posted higher sales than a year ago. In August, only 4 metro areas had posted higher sales.
Typically, a home sat for 65 days on the market on an average in September. Though it is three days more than the average in August, it marked the 28th consecutive month of average days on market below 90.
The report also found that the median price of all homes sold in September was $195,000 - 2.7 percent below Augusts' figures, but 5.4 percent more than a year ago. The price change was a result of improving inventory.
Though the stock of new homes hasn't improved greatly, the lack of supply has been declining steadily. The report found that September's inventory was 2.9 percent below that of August and 5.4 percent below the figures recorded a year ago.
Overall, September's housing report was positive and experts believe the trend will continue to the next year as well.
"It's significant that September was the first month this year to see higher sales than last year. This demonstrates that there are interested buyers and the market is strong enough to rival last year's brisk sales. While the change of seasons usually sees reduced sales, it's good to see that home prices continue to rise at a more sustainable rate," Margaret Kelly, CEO of Re/Max, said in a statement.
Meanwhile, mortgage rates have also declined to their lowest levels in the recent months. Last week, the 30-year mortgage rate fell below 4 percent for the first time this year, which has people rushing to take advantage of a refinance mortgage.
Lending standards are also loosening on account of the low rates. The U.S. Federal Reserve does not expect an interest rate rise until mid-2015. Prices have also been increasing at a lot slower pace - all of which is making for a great home-buying scenario.
