Existing home sales decline
The National Association of Realtors’s tally of existing home sales for August declined on both monthly and annual basis, according to data released Thursday morning.
On a seasonally adjusted annual rate, existing home sales for August were at a pace of 3.86 million, down 2.5 percent from last month, and down 4.2 percent from August 2023.
Still, the NAR’s chief economist Lawrence Yun was upbeat, based on the recent development of lower mortgage rates coupled with increasing inventory — described as a powerful combination that will provide the environment for sales to move higher in future months.
“Home sales were disappointing again in August, but the recent development of lower mortgage rates coupled with increasing inventory is a powerful combination that will provide the environment for sales to move higher in future months,” said NAR Chief Economist Lawrence Yun. “The home-buying process, from the initial search to getting the house keys, typically takes several months.”
On Wednesday, the Federal Reserve voted on Wednesday to lower borrowing costs.
Three out of four major U.S. regions posted sales declines while the Midwest registered no change. Year-over-year, sales slipped in three regions but remained stable in the Northeast.
The NAR also reported that the median existing-home price for all housing types in August was $416,700, up 3.1% from one year ago ($404,200). All four U.S. regions posted price increases.
