U.S. existing-home sales climbed 5.1% month-over-month and 1.4% year-over-year to a seasonally adjusted annual rate of 4.35 million units, the strongest pace in nearly three years, according to the National Association of REALTORS® (NAR). Lower mortgage rates and slower home price growth helped spur buyer activity, and sales increased month-over-month in every region. On an annual basis, sales rose in the South, held steady in the West and Midwest, and declined in the Northeast.

Closed Sales increased 3.2 percent for Existing Homes homes and 1.1 percent for New Construction homes. Pending Sales increased 10.7 percent for Existing Homes homes and 23.4 percent for New Construction homes. Inventory increased 0.9 percent for Existing Homes homes and 3.4 percent for New Construction homes.

Median Sales Price increased 6.8 percent to $299,000 for Existing Homes homes and 13.8 percent to $548,409 for New Construction homes. Days on Market increased 15.9 percent for Existing Homes homes and 21.2 percent for New Construction homes. Months Supply of Inventory decreased 5.3 percent for Existing Homes homes but remained flat for New Construction homes.

Nationally, there were 1.18 million homes for sale heading into January, an 18.1% decline from the previous month but 3.5% higher compared to the same period last year, representing a 3.3-month supply at the current sales pace, according to NAR. Meanwhile, the median existing-home price rose 0.4% from a year ago to $405,400, reflecting a continued moderation in national price growth.

*Information courtesy of KCRAR and Heartland MLS