Existing home sales bumped up in February
Existing home sales jumped in February, according to the National Association of Realtors. For both monthly and year-over-year sales, two major U.S. regions experienced growth, one region remained stable and the other registered a decline.
Total existing-home sales – completed transactions that include single-family homes, townhomes, condominiums and co-ops – rose 4.2 percent from January 2025 to a seasonally adjusted annual rate of 4.26 million in February. Year-over-year, sales dipped 1.2 percent (down from 4.31 million in February 2024).
"Home buyers are slowly entering the market," said NAR Chief Economist Lawrence Yun. "Mortgage rates have not changed much, but more inventory and choices are releasing pent-up housing demand."
Total housing inventory registered at the end of February was 1.24 million units, up 5.1 percent from January and 17 percent from one year ago (1.06 million). Unsold inventory sits at a 3.5-month supply at the current sales pace, which is identical to January and up from 3 months in February 2024. First-time buyers were responsible for 31 percent of sales in February, up from 28 percent in January 2025 and 26 percent in February 2024.
"On a technical note, raw sales in February were down 5.2 percent from last year, which was a leap year with one extra day of business," Yun added. "However, after adjusting for this effect, combined with the winter seasonal factors, the momentum for home sales is flashing encouraging signs."
The median existing-home price for all housing types in February was $398,400, up 3.8 percent from one year ago ($383,800). All four U.S. regions registered price increases.
"Each one percentage point gain in home price translates into an approximately $350 billion increase in housing equity for American property owners," Yun said. "That means a gain of nearly $1.3 trillion in home value appreciation at a time when the current stock market is undergoing a correction. Moreover, the ongoing housing shortage, coupled with historically low mortgage default rates, implies a solid foundation for home values."
Regional data
In February, existing home sales in the Northeast decreased 2 percent from January to an annual rate of 500,000, up 4.2 percent from February 2024. The median price in the Northeast was $464,300, up 10.4 percent from one year earlier.
In the Midwest, existing home sales were unchanged in February at an annual rate of 1 million, up 1 percent from the prior year. The median price in the Midwest was $295,500, up 5.8 percent from February 2024.
Existing home sales in the South jumped 4.4 percent from January to an annual rate of 1.91 million in February, down 4 percent from one year before. The median price in the South was $358,800, up 1.9 percent from last year.
In the West, existing home sales spiked 13.3 percent in February to an annual rate of 850,000, identical to a year ago. The median price in the West was $614,600, up 3.6 percent from February 2024.
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