Existing-home sales rose 4.2% in February to a seasonally adjusted annual rate of 4.26 million. Sales fell 1.2% from one year ago. For both monthly and year-over-year sales, the South and West experienced growth, while the Midwest remained stable and the Northeast experienced a decline, according to the National Association of Realtors (NAR).
“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.” “On a technical note, raw sales in February were down 5.2% 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.”
Total housing inventory registered at the end of February was 1.24 million units, up 5.1% from January and 17.0% from one year ago (1.06 million). Unsold inventory sits at a 3.5-month supply at the current sales pace, identical to January and up from 3.0 months in February 2024.
The median existing-home price for all housing types in February was $398,400, up 3.8% from one year ago ($383,800). All four U.S. regions posted price increases.
Distressed sales, foreclosures and short sales, represented 3% of sales in February, unchanged from January and the previous year.
Read the NAR release.
