Existing Home Sales Fall 3.3% in June

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The National Association of Realtors, Chicago, reported existing home sales dropped 3.3% in June from May to a seasonally adjusted annual rate of 4.16 million. Sales were down 18.9% compared with June 2022.

“The first half of the year was a downer for sure with sales lower by 23%,” said NAR Chief Economist Lawrence Yun. “Fewer Americans were on the move despite the usual life-changing circumstances. The pent-up demand will surely be realized soon, especially if mortgage rates and inventory move favorably.”

The median existing-home sale price–at $410,200–was the second highest since NAR began tracking the data almost 25 years ago. The record was set a year ago, at $413,800.

The inventory of unsold existing homes was flat from May, at the equivalent of 3.1 months’ supply at the current monthly sales pace.

“There are simply not enough homes for sale,” Yun said. “The market can easily absorb a doubling of inventory.”

Sales varied by region, with the Northeast experiencing some gains, the South and West decreasing in sales and the Midwest remaining flat.

By buyer type, first-time buyers were involved in 27% of sales in June, down from 28% in May and 30% in June 2022. Individual investors or second-home buyers purchased 18% in June, up from 15% in May and 16% year-over-year.