National Home Cash Sales Cash Down for February 2015

CoreLogic released data on cash home sales today, finding that cash sales made up 37.9 percent of total home sales nationally in February 2015, down from last year's total of 40.6 percent. February 2015 will mark the 26^th consecutive month that the share has dropped year-over-year since January 2013. The cash sales share fell 1 percentage point month-over-month. Cash sales share comparisons should be made on a year-over-year basis because of the seasonality in the housing market.

In January 2011, the cash sales share peaked when cash transactions made up 46.5 percent total home sales nationally, according to CoreLogic. Home sales averaged 25 percent before the housing crisis struck.  The data predicts that if cash sales continue to drop at the same rate it did for February 2015, the share could drop to 25 percent by mid-2018.

According to the data, real estate-owned (REO) sales had the largest cash sales share in February 2015 at 59.8 percent. Up next were resales (37.6 percent), short sales (34.3 percent), and newly constructed homes (15.8 percent). Even though the amount of REO cash sales remained high, REO transactions accounted for only 9.7 percent of all sales for February. When cash sales peaked in January 2011, REO sales accounted for 23.9 percent of total home sales. Resales can be attributed with the biggest share of home sales and account for most of the cash sales with 80 percent.

Florida had the largest share of any state at 54.6 percent, data reveals. Alabama (51.9 percent), New York (48.4 percent), Indiana (47.8 percent), and Michigan (44.9 percent) follow. Of the nation's largest 100 Core Based Statistical Areas (CBSAs) measured by population, Detroit-Dearborn-Livonia, Michigan. had the highest share of cash sales at 60.5 percent. Cape Coral-Fort Myers, Florida (59.4 percent), Miami-Miami Beach-Kendall, Florida (59.3 percent), Fort Lauderdale-Pompano Beach-Deerfield Beach, Florida (58.5 percent), and West Palm Beach-Boca Raton-Delray Beach, Florida (58.4 percent) follow. Washington-Arlington-Alexandria, D.C.-Virginia-Maryland had the lowest cash sales share at 16.9 percent.

View the full report at: CoreLogic.com