Cash home sales expected to fall to pre-crisis levels in 2017: CoreLogic
IRVINE, Calif. (11/23/15)--Despite an uptick in the number of homes purchased entirely with cash in August, the overarching downward trend signals that cash sales will fall to their pre-recession levels in 2017, according to a recent report from CoreLogic (Housingwire.com Nov. 20).
While on a monthly basis cash sales climbed 0.8%, on a yearly basis sales dropped to 31.7% of all home sales in August, down from 34.9%.
That mark is far below the post-recession peak, reached in 2011 when cash sales accounted for 46.5% of all home sales nationwide. Before the recession, 25% of all sales were made in cash.
Additional numbers from the report:
Real estate-owned sales held the largest cash sales share in August with 57.9%;
Resales held the next highest share at 31.1%, followed by short sales at 29% and newly constructed homes at 15.5%;
Alabama featured the largest share of cash sales of any state with 47.5%, followed by Florida (45.2%), New York (42.4%), West Virginia (39.6%), and Missouri (39.5%); and
- By metro area, Miami posted the highest rate of cash sales at 51.7%, followed by Philadelphia (51%), West Palm Beach-Boca Raton-Delray Beach, Fla. (50.8%), and North Port-Sarasota-Bradenton, Fla. (48.5%). Washington-Arlington-Alexandria, D.C.-Va.-Md., reported the lowest rate of cash sales at 13.6%.