Steel Markets
Existing Home Sales Down Again in January: NAR
Written by David Schollaert
February 23, 2023
Existing home sales declined for the 12th month in a row in January, according to the National Association of Realtors (NAR).
All four major regions in the US registered year-over-year (YoY) drops, though sales were mixed month over month (MoM) among the four regions. The South and West regions registered increases MoM, while the East and Midwest declined, NAR said.
Sales of existing homes dropped to a seasonally adjusted annual rate of 4 million in January, down 0.7% from December and off 36.9% from a year earlier.
“Home sales are bottoming out,” NAR chief economist Lawrence Yun said in a statement. “Prices vary depending on a market’s affordability, with lower-priced regions witnessing modest growth and more expensive regions experiencing declines.”
NAR said total housing inventory registered at the end of January stood at 980,000 units, up 2.1% from December and up 15.3% from the year-ago period. The association noted that unsold inventory sits at a 2.9-month supply at the current sales pace, unchanged from December but up from 1.6 months in January 2022.
Existing home sales in the Northeast fell 3.8% from December to an annual rate of 500,000, and were down 35.9% from a year earlier. They were down 5% MoM and 33.3% YoY, respectively, to 960,000 in the Midwest. Sales were up 1.1% MoM but down 36.6% YoY, respectively, to 1.82 million in the South. Existing home sales rose 2.9% MoM but were down 42.4%, respectively to 720,000 in the West.
The median existing-home price for all housing types rose 1.3% in January to $359,000 vs. January 2022, as prices rose in three out of four regions, NAR said.
The 131 consecutive months of YoY increases is the longest-running streak on record, the association noted.
“Inventory remains low, but buyers are beginning to have better negotiating power,” Yun said. “Homes sitting on the market for more than 60 days can be purchased for around 10% less than the original list price.”
Existing home sales include completed transactions of single-family homes, townhomes, condominiums, and co-ops.
By David Schollaert, david@steelmarketupdate.com
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/02/SMU_DS_headshot.png-150x150.jpg)
David Schollaert
Read more from David SchollaertLatest in Steel Markets
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/GrafTech.jpg)
GrafTech’s Q2 loss widens in ‘challenging’ business environment
GrafTech cited a “challenging” part of the business cycle as its net loss widened in the second quarter.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/07/CRU-Logo-2023-07-21-at-4.35.41-PM.png)
CRU: Poor steel margins continue to push down raw material prices
Both iron ore and coking coal prices fell this week because of resistance from buyers. Iron ore prices have continued to fall throughout the past week, following sharp declines in steel prices in China, given no new policy announcement from the ‘Third Plenum’ meeting.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2024/06/canacero-logo.png)
Op-Ed: The myth of the Mexican steel surge
We have heard ominous warnings about a flood of Mexican steel threatening the US market. It's the kind of rhetoric that gets thrown around often with little regard for the facts. The reality is that the Mexican steel surge is simply not happening, and the US steel industry has consistently maintained a significant trade surplus in finished products with Mexico. In 2023 alone, this surplus exceeded $3 billion.
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/2023/07/CRU-Logo-2023-07-21-at-4.35.41-PM.png)
CRU: Demand weakness continues to weigh on global sheet markets
Demand has remained persistently weak across the globe for sheet steel, weighing on prices. US HR coil prices fell the furthest this week as high-volume, low-priced deals were transacted as mills looked to fill order books and competed with one another amid relative demand weakness. Meanwhile, European prices were also down due to low demand […]
![](https://www.steelmarketupdate.com/wp-content/uploads/sites/2/images/Featured_News_Icons/graph_up_arrow.png)
Influx of coated products fuels recent import surge
Steel imports fell back in May from April’s recent high but remained elevated compared to the levels seen over the past year. A deeper dive into the data confirms what SMU has been hearing from sources: Coated sheet is driving the recent rise in overall import levels.