Existing-home sales decreased 1.8% to a seasonally adjusted annual rate of 5.52 million in June, according to the National Association of Realtors (NAR). Despite the decline, sales are 0.7% above a year ago.
“Closings were down in most of the country last month because interested buyers are being tripped up by supply that remains stuck at a meager level and price growth that’s straining their budget,” said Lawrence Yun, NAR chief economist. “The demand for buying a home is as strong as it has been since before the Great Recession. Listings in the affordable price range continue to be scooped up rapidly, but the severe housing shortages inflicting many markets are keeping a large segment of would-be buyers on the sidelines.”
The total housing inventory fell 0.5% to 1.96 million homes available for sale, while the median existing home price climbed to $263,800, up 6.5% from June 2016 ($247,600) as the new peak median sales price. This marks the 64th straight month of year-over-year gains.
Distressed sales were 4% of the total in June, down from 6% a year ago and matching last September as the lowest share of sales since NAR began tracking in October 2008. Three percent of sales were foreclosures and 1% were short sales.
Read the NAR release.
