existing home sales - Investment & Finance Definition
A monthly statistical report compiled by the National Association of Realtors of sales of existing homes. These statistics are closely watched by the financial markets as a sign of the strength of the economy; The purchase of a house typi-cally prompts additional sales of furniture, appliances, and new decorations, which help to fuel consumer demand and thus economic growth. The report also includes sales on a seasonally adjusted annual rate, which reflects the number of homes that would be sold if the same number of sales in one month occurred for twelve months. In 2002, a record 5.56 million homes were sold, which beat the previous record of 5.3 million in 2001.