Existing home sales hit a 10-year high in 2015, with December closing out the year with a 14.7% boost from November. Existing home sales were up 6.5% for the year compared to 2014 with a total of 5.26 million existing homes sold, and was the best year since the pre-crisis peak of 2006. December sales were up 7.7%% year-over-year.
The “Know Before You Owe” lending regulations, implemented in October, pushed many of November's home sales into the next month, which caused December's sales to spike.
We should expect next month’s numbers to stabilize from the erratic November and December swings as agents and lenders continue to adapt to these new lending regulations. Last, the Federal Reserve’s decision to increase interest rates by 0.25% last month didn’t impact existing home sales, since mortgage rates have actually dropped sharply over the past month.