Existing-home sales increased in August and reached the highest level in 6 1/2 years, while the median price achieved nine consecutive months of double-digit year-over-year increases, National Association of Realtors data say.

Totalexisting-homesales, which are completed transactions that include single-family homes, townhomes, condominiums, and co-ops, rose 13.2 percent to a seasonally adjusted annual rate of about 5.5 million in August from the 4.8 million-unit level in the year-earlier period. Compared with the 5.4 million home sales in July, August's activity was about 2 percent higher.

Sales were at the highest pace since February 2007, when they nearly hit 5.8 million, and have remained above year-earlier levels for the past 26 months.

In Spokane County, August sales activity outpaced activity nationwide with a 23 percent increase in sales, to 565 sales in August compared with 458 in the year-earlier month. Compared with the prior month, however, sales activity in Spokane decreased 8 percent from 614 sales in July.

Lawrence Yun, NAR chief economist, says that nationally, the market might be experiencing a temporary peak.

"Rising mortgage interest rates pushed more buyers to close deals, but monthly sales are likely to be uneven in the months ahead from several market frictions," Yun says. "Tight inventory is limiting choices in many areas, higher mortgage interest rates mean affordability isn't as favorable as it was, and restrictive mortgage lending standards are keeping some otherwise qualified buyers from completing a purchase."

Total housing inventory at the end of August increased less than 1 percent to roughly 2.3 million existing homes available for sale, which represents a five-month supplyat the current sales pace, the same as the five-month supply in July. The unsold supply of homes on the market was a full month below a year earlier.

"Limited inventory in some areas means multiple bidding remains a factor; 17 percent of all homes sold above the asking price in August, although 63 percent sold below list price," Yun says.

In Spokane, the available inventory rose about 3 percent to about 2,900 active listings at the end of August from 2,830 a year earlier. The inventory represents a five-month supply, consistent with the national level.

Data fromrealtor.com, NAR's listing site, shows large declines in inventory from a year earlier in Naples, Fla., down almost 24 percent; the Detroit area, down 23 percent; and the greater Boston area, down 21 percent.

According to Freddie Mac, thenational average commitment ratefor a 30-year, conventional, fixed-rate mortgage rose to 4.46 percent in August from 4.37 percent in July, and is the highest since July 2011 when it was 4.55 percent; the rate was 3.60 percent in August 2012.

The national median existing-home price for all housing types was $212,100 in August, up 15 percent from August 2012. This is the strongest year-over-year price gain since October 2005 when the median rose 17 percent, and marks 18 consecutive months of year-over-year price increases.

The Spokane-area median price in August rose at a much smaller 2 percent rate, to $170,500 from $167,800 in the year-earlier month.

Distressed homes—foreclosures and short sales—accounted for 12 percent of August sales nationally, down from 15 percent in July, and are at the lowest share since monthly tracking began in October 2008; they were 23 percent in August 2012. Ongoing declines in the share of distressed sales are responsible for some of the growth in median price.

Eight percent of August sales were foreclosures, and 4 percent were short sales. Foreclosures sold for an average discount of 16 percent below market value in August, while short sales were discounted an average 12 percent.

NAR PresidentGary Thomas, broker-owner of Evergreen Realty in Villa Park, Calif., says rising home values will encourage more people to sell.

"As the equity position of most homeowners continues to improve, some who have been on the sidelines will list their home for sale," he says. "Most of those owners also will be buying another home, but higher levels of new home construction going into 2014, combined with some reduction in demand from less favorable affordability conditions, will help to moderate price growth to more sustainable levels."

The median time on the market for all homes was 43 days in August, little changed from 42 days in July, but still much faster than the 70 days on the market in August 2012. Short sales were on the market for a median of 98 days, while foreclosures typically sold in 52 days, and non-distressed homes took 41 days. Forty-three percent of homes sold in August were on the market for less than a month.

First-time buyers accounted for 28 percent of purchases in August, down from 29 percent in July and 31 percent in August 2012.

All-cash sales comprised 32 percent of transactions in August, up from 31 percent in July and 27 percent in August 2012. Individual investors, who account for many cash sales, purchased 17 percent of homes in August, compared with 16 percent in July and 18 percent in August 2012. Last month, three out of four investors paid cash.

Single-family home sales rose about 2 percent to a seasonally adjusted annual rate of more than 4.8 million in August from just under 4.8 million in July, and were 12.8 percent above the 4.3 million-unit pace in August 2012. The median existing single-family home price was $212,200 in August, which was 14 percent higher than a year earlier.

Existing condominium and co-op sales increased about 2 percent to an annual rate of 640,000 units in August from 630,000 in July, and were 16 percent above the 550,000-unit level a year earlier. The median existing condo price was $211,700 in August, up 18 percent from August 2012.

Regionally, existing-home sales in the Northeast were unchanged at an annual rate of 710,000 in August but were 13 percent above August 2012. The median price in the Northeast was $268,800, up 8 percent from a year earlier.

Existing-home sales in the Midwest increased 3 percent in August to a pace of 1.3 million, and were 19 percent higher than a year earlier. The median price in the Midwest was $166,100, which was 10 percent above August 2012.

In the South, existing-home sales rose 4 percent to an annual level of 2.2 million in August and were almost 14 percent above August 2012. The median price in the South was $181,000, up 15 percent from a year earlier.

Existing-home sales in the West declined 2 percent to a pace of 1.3 million in August but were 7.7 percent higher than a year earlier. With the tightest regional inventory conditions, the median price in the West rose to $287,500, which was up 19 percent from August 2012.

The National Association of Realtors markets itself as America's largest trade association, representing 1 million members involved in all aspects of the residential and commercial real estate industries.