|Dec. 21, 2017 -- U.S. existing home sales surged for the third straight month in November, reaching the highest level in almost 11 years, the National Association of Realtors (NAR) reported on Wednesday.
Total existing-home sales climbed 5.6 percent to a seasonally adjusted annual rate of 5.81 million in November, the highest since December 2006, the NAR said.
The median existing-home price for all housing types in November was 248,000 U.S. dollars, up 5.8 percent from a year earlier.
"Faster economic growth in recent quarters, the booming stock market and continuous job gains are fueling substantial demand for buying a home as 2017 comes to an end," said NAR chief economist Lawrence Yun.
But he warned that the anticipated rise in mortgage rates next year could further cut into house affordability if the staggeringly low supply levels persist.
The inventory of existing homes available for sale at the end of November dropped 7.2 percent to 1.67 million, and it has fallen year-over-year for 30 consecutive months, according to the NAR.
"Price appreciation is too fast in a lot of markets right now. The increase in homebuilder optimism must translate to significantly more new construction in 2018 to help ease these acute inventory shortages," said Yun.