Existing-Home Sales Dip in August

(Photo: Michael Tucker)

Existing-home sales remained essentially the same in August, ticking down just 0.2% from July, according to the National Association of Realtors, Chicago.

The NAR Existing-Home Sales Report found that month-over-month sales increased in the Midwest and West and fell in the Northeast and South. Year-over-year, sales rose in the Midwest and South and fell in the Northeast and West.

“Home sales have been sluggish over the past few years due to elevated mortgage rates and limited inventory,” NAR Chief Economist Lawrence Yun said. “However, mortgage rates are declining and more inventory is coming to the market, which should boost sales in the coming months.”

Yun noted record-high housing wealth and a record-high stock market will help current homeowners trade up and benefit the upper end of the market. “However, sales of affordable homes are constrained by the lack of inventory,” he added.

The median sales price equaled $422,600 in August, the report said. This figure is up 2.0% from one year ago ($414,200), representing the twenty-sixth consecutive month of year-over-year price increases.

Houses stayed on the market for 31 days on average, up from 28 days last month and 26 days in August 2024, NAR reported. 28% of sales were first-time homebuyers, unchanged from July and up from 26% in August 2024. 28% of transactions were cash sales, down from 31% a month ago and up from 26% in August 2024.