Existing Home Sales Up 4.9%, Beating Street Views By 3%

Existing-home sales grew 4.9 percent nationwide in May, logging the best monthly increase since 2011 according to a brokers' group.Sales were running at a seasonally adjusted annual rate of 4.89 million, up 4.9% from April, the National Association of Realtors said Monday.Wall Street expected a May sales rate of 4.75 million, or 3 percent lower than the actual number.Meanwhile, prices grew 5.1 percent from a year ago, to a median of $213,400, and inventory rose 2.2%, up 6 percent from a year ago.The May inventory suggests a 5.6-month supply, which is below the 6-month inventory that brokers call a balanced market.Lawrence Yun, the group's economist, said current sales activity is rebounding after the lackluster first quarter. “Home buyers are benefiting from slower price growth due to the much-needed, rising inventory levels seen since the beginning of the year,” Yun said. “Moreover, sales were helped by the improving job market and the temporary but slight decline in mortgage rates.”