Home Prices Rose In October, November Sales Declined
The Federal Housing Finance Agency (FHFA) reported Tuesday that U.S. house prices rose in October, up 0.6 percent on a seasonally adjusted basis from the previous month, according to the FHFA monthly House Price Index (HPI). The previously reported house price change of 0.0 percent in September remained unchanged.
The price news followed Monday’s report from The National Association of Realtors that existing home sales in November dropped 6.1 percent to an annual rate of 4.93 million units, the lowest level since May.
According to Reuters, “November's steep decline probably does not signal the start of a weakening trend and in part reflected stubbornly low inventories, which touched an eight-month low, giving buyers limited options. Sales were up 2.1 percent from a year ago.”
SPDR S&P Homebuilders (ETF) (NYSE: XHB) spiked up at the open Tuesday and recently traded at $33.67, up 0.73 percent.
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