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Sales of Existing Homes Up 2.1% in October

iStockphoto/Thinkstock(WASHINGTON) -- Sales of existing U.S. homes rose by 2.1 percent in October to an annual pace of nearly 4.8 million, up approximately 11 percent from a year ago, according to a report out Monday from the National Association of Realtors. It’s the eighth straight month that this figure has increased.

“We've not seen that since the end of May 2006,” National Association of Realtors spokesman Walter Maloney said.

The national median existing home price was $178,600 in October, according to the report.

Part of the reason for the upward climb, Maloney said, is that fewer homes are on the market.

“With limited inventory, home prices continue to rise and home equity is recovering,” he said.

Maloney continued, “Each percentage point of price appreciation is adding $190 billion to total home equity, so we could see close to a trillion dollar gain next year with prices expected to rise another five percent.”

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